India Allows Duty-Free Sugar Imports as Prices Surge

Sugar has become much more expensive in India.

Shop prices rose to about Rs 62-65 per kilogram from Rs 42-44 a month earlier.

To increase supply, the Centre will let mills and refiners import 10 lakh tonnes of raw sugar without the usual 100 per cent duty.

The permission lasts until October 31, 2026.

Some traders say the move could quickly add 300,000 tonnes to local supplies, while others say shipments may take nearly two months.

The government is also stopping large buyers from storing more than 15 days’ worth of sugar.

This rule applies to businesses such as confectioners, soft-drink makers, food processors, and sweet sellers.

Critics say ethanol blending has reduced sugar availability, while experts say festive-season demand is pushing prices higher.

Officials say prices could fall while mills remain profitable because their production costs are lower than current market prices.