The government on Thursday allowed duty-free imports of 10 lakh tonnes of raw sugar under a tariff rate quota till October 31 amid rising prices of the sweetener in local markets.
To control prices, the government has also imposed a stockholding limit on bulk consumers who use more than 10 tonnes of sugar a month, capping their stock at 15 days’ consumption.
The order has come against the backdrop of a sharp rise in sugar prices, with ex-mill rates hitting record levels due to a lower opening stock ahead of the 2026-27 season. To control prices, the government has also imposed a stockholding limit on bulk consumers who use more than 10 tonnes of sugar a month, capping their stock at 15 days’ consumption. The all-India average ex-mill price rose to Rs 5,400-5,500 per quintal on Tuesday, up from Rs 3,900 a year earlier, according to an industry body. Retail sugar prices have climbed about 13 per cent year-on-year to Rs 52.30 per kg as on August 18, from Rs 46.34 a year ago, as per consumer affairs ministry data. Food Minister Pralhad Joshi, in a social media post, announced that bulk consumers using more than 10 tonnes of sugar a month will not be allowed to hold stock beyond what they will consume in 15 days.
“The import policy for raw sugar is amended to allow 10 lakh MT of duty-free imports under Tariff Rate Quota (TRQ) till October 31, 2026,” the Directorate General of Foreign Trade said in a notification. “The proactive step taken by the government will immediately dispel speculation & ensure adequate supply to consumers at reasonable and stable prices over the coming year,” the food ministry said in a post on X.
