Govt rules out permitting sugar exports this season

Govt rules out permitting sugar exports this season



The government on Monday ruled out possibility of allowing sugar exports in the current 2023-24 season ending October, the industry’s persistent demand notwithstanding.

Currently, there are curbs on export of sugar for an indefinite period.



However, Indian Sugar Mills Association (ISMA) has requested the government to allow export of 10 lakh tonne of sugar in the 2023-24 season, anticipating healthy closing stock by the season-end.

“As of now, the government is not considering sugar exports although the industry has demanded,” a senior food ministry official told PTI.


The country’s sugar production crossed 30 million tonne till March of the ongoing 2023-24 season.

That’s an interesting update on the sugar industry. It appears the government is prioritizing domestic needs over exports for sugar this season (2023-24 ending October).

Here’s a quick breakdown of the situation:


  • Export restrictions remain: The government has decided not to allow any sugar exports this season, despite requests from industry bodies like the Indian Sugar Mills Association (ISMA).
  • Reasons for the decision: There are concerns about maintaining sufficient sugar stocks for domestic consumption, especially considering factors like:
    • Potential increase in demand due to the upcoming festive season.
    • Higher ethanol production targets, which divert sugarcane away from sugar production.
    • Untimely rains impacting sugarcane yield in some areas (like Maharashtra).

This policy decision is likely to impact the sugar industry in a few ways:


  • Sugarcane farmers: They might see lower profits due to restricted export opportunities.
  • Sugar mills: They might have to focus on selling sugar domestically and may not be able to tap into the potentially higher export market prices.
  • sugar

Overall, the government’s decision prioritizes ensuring enough sugar is available domestically at stable prices. This can be important for consumers and food security. However, it may come at the cost of some benefits for sugar producers and exporters.


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