Govt makes a rare ‘sweet’ move for your kitchen

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Key points

• When festivals including Ganesh Chaturthi, Dussehra and Diwali drive consumption, the measures come as demand for sugar typically rises between August and November.
• Centre has allowed duty-free imports of 1 million metric tonnes of sugar as rates surge almost 40% in two months against the backdrop of tightening supplies.
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• The decision marks India's first sugar imports in almost a decade, according to the administration order.
• The duty-free import decision comes alongside tighter restrictions on sugar inventories held by bulk consumers.

India allows duty-free sugar imports as rates climb ahead of festive season.

India allows duty-free sugar imports as rates climb ahead of festive season. ET OnlineLast Updated: Aug 20, 2026, 07: 40: 00 PM IST.

Centre has allowed duty-free imports of 1 million metric tonnes of sugar as rates surge almost 40% in two months against the backdrop of tightening supplies. The move comes alongside stricter stockholding limits for bulk consumers, with festive demand projected to rise through November and weather conditions adding pressure to sugarcane availability.

Centre on Thursday permitted duty-free imports of 1 million metric tonnes of sugar as domestic rates continue to climb, with the move aimed at easing supplies ahead of the peak festival season. Sugar rates have climbed almost 40% over the past two months against the backdrop of tightening supplies, putting pressure on consumers and prompting the world's biggest sugar consumer to turn to imports. The decision marks India's first sugar imports in almost a decade, according to the administration order. Centre tightens sugar stock limits ahead of festive season.

Meanwhile, the duty-free import decision comes alongside tighter restrictions on sugar inventories held by bulk consumers. Under an order issued on Wednesday, dealers using more than 10 metric tonnes of sugar a month will be allowed to hold stocks equivalent to no more than 15 days of consumption. The new stockholding rule will take effect from September 1 and remain in force until November 30. The Centre had last month imposed a 30-day limit on sugar stocks. Live Events.

When festivals including Ganesh Chaturthi, Dussehra and Diwali drive consumption, the measures come as demand for sugar typically rises between August and November. Sizeable buyers such as biscuit and confectionery manufacturers additionally tend to build inventories ahead of the festive period. Sugar rates have risen concerning 10% over the past month to record levels despite the earlier stockholding restrictions. Supplies are projected to remain tight as festive demand gathers pace. Uneven rainfall and dry weather in some sugarcane-growing areas have additionally went on to reservations over availability. Sugarcane is a water-intensive crop and depends heavily on irrigation. Add Now!

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