The Government has approved duty-free import of 10 lakh tonnes (10 LMT) of raw sugar to boost domestic availability and stabilize sugar prices ahead of the festive season.
- Sugar prices rose from ₹48.18/kg (20 July) to ₹55.70/kg (20 August 2026).
- Domestic sugar production is estimated at 306 LMT, below the initial estimate of 343 LMT.
- Price rise is attributed to lower production, festive demand, crop damage, global supply concerns, and hoarding/speculation—not ethanol diversion.
- 10 LMT duty-free raw sugar imports have been approved as a precautionary supply measure.
- A 400-tonne stock limit has been imposed on sugar dealers from 1 August to 30 November 2026.
- Sugar mills have been advised to begin crushing from 15 October 2026 to increase festive-season supply.
