- Sugar dealer stock limits tightened to 1,000 quintals.
With the festive sweet-making season around the corner, sugar has become a little more expensive at the factory gate, and the Centre has moved to ensure there is enough on the shelves. On Tuesday, the government released a 1.4 million tonne quota for domestic sales during the second half of October, announcing it two days ahead of schedule.
Sugar Prices Rise Ahead of Diwali
Ex-mill sugar prices have risen by nearly Rs 1,000 per quintal over the past 10 days, which is what prompted the early release, according to the Department of Food and Public Distribution (DFPD). The aim, it said in its order, is to maintain adequate supplies before Diwali and keep prices from rising further, reported Business Standard.
Data from the Department of Consumer Affairs shows the all-India average retail price of sugar was Rs 56.67 per kg on October 13, while the average wholesale price stood at Rs 5,254.91 per quintal on the same day.
Sugar Quota for October 13-31: What the Order Says
Under the DFPD order, 1.4 million tonnes has been allocated to domestic sugar mills for October 13-31. A further 200,000 tonnes has been set aside for sugar importers.
For context, the government had earlier allocated 2.65 million tonnes for September and 3 million tonnes for October.
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Maharashtra, UP, Karnataka Get 83% of Sugar Quota
Maharashtra, Uttar Pradesh and Karnataka account for the lion’s share. Together they have received 1.159 million tonnes, roughly 83% of the allocation for domestic mills. Maharashtra has been allotted 476,000 tonnes, Uttar Pradesh 451,000 tonnes and Karnataka 232,000 tonnes.
The allocation covers 587 mills. Of these, 134 have not been given any quota, while 39 have been allotted up to 100 tonnes each.
Why Imported Sugar Isn’t Selling in India
Of the 200,000 tonnes earmarked for importers, 130,000 tonnes has gone to Shree Renuka Sugars and 70,000 tonnes to Shri Dutt India for the second half of October.
The two refiners were approved to sell 265,000 tonnes of imported sugar in the domestic market, and were allocated a combined 300,000 tonnes between September 1 and October 15. According to a news report, however, they sold less than 60,000 tonnes in that period, as domestic selling prices did not make imported sugar commercially viable.
Sugar Stock Limit Cut to 1,000 Quintals
The Centre has also tightened stockholding rules for sugar dealers, aiming to discourage hoarding and keep retail prices in check through the festive season. A gazette notification issued by the DFPD last week sets the new limits, which will apply from October 15 to November 30, 2026.
Dealers may now hold a maximum of 1,000 quintals of sugar, with a stockholding period of 15 days. Kolkata and its extended metropolitan areas, as well as Assam, are exempt from the restrictions.
This is the latest in a series of reductions. In August, the government had fixed the limit at 4,000 quintals for the period August 1 to November 30, with a maximum holding period of 30 days from the date of receipt. That was lowered to 2,000 quintals from September 15.
India Allows 5,841 Tonnes of Sugar Exports to EU
In a related development, the Directorate General of Foreign Trade (DGFT) has allowed the export of 5,841 tonnes of sugar to the European Union under the tariff rate quota (TRQ) scheme for 2026-27. A public notice dated October 9 said the quantity can be shipped between October 2026 and September 2027 under the duty concession arrangement.
The DGFT also issued two other notifications. It extended the minimum import price requirement for glufosinate and its salts, which are used in weed-control products, until April 12, 2027. It also amended the export policy for prepared culture media, the nutrient-rich formulations used in laboratories to grow, isolate and identify microorganisms, to allow shipment clearance and health certificates to be issued wherever the importing country requires them.
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Disclaimer : This story is auto aggregated by a computer programme and has not been created or edited by DOWNTHENEWS. Publisher: abplive.com
