Lagatar24 Desk
New Delhi, May 25: To guarantee domestic supply and price stability during the sugar season 2021-22, the central government put restrictions on sugar exports up to 100 lakh metric tonnes (LMT) from June 1, 2022.
According to a directive issued by the Directorate General of Foreign Trade (DGFT) with effect from June 1, 2022, until October 31, 2022, or until further order, whichever comes first, sugar exports will be permitted only with the permission of the Directorate of Sugar under the Department of Food and Public Distribution.
Sudhanshu Pandey, Secretary of the Department of Food and Public Distribution, said the decision was made in light of record sugar exports.
During the current sugar season 2021-22, contracts for export of roughly 90 LMT were signed, approximately 82 LMT of sugar was dispatched for export from sugar mills, and approximately 78 LMT was shipped. According to the secretary, sugar exports in the current sugar season (2021-22) are at an all-time high.
He stated that the move will ensure that the closing stock of sugar at the conclusion of the sugar season (30 September 2022) stays 60-65 LMT, which is 2-3 months’ worth of stocks (the monthly requirement in those months is around 24 LMT).
In the current year, India is the world’s greatest producer and second-largest exporter of sugar.
Despite record sugar production, the Government of India has paid 99.5 percent of cane dues for the previous sugar season 2020-21, and roughly 85 percent of cane dues for the current sugar season 2021-22 have also been released to farmers.
The Indian government is dedicated to maintaining stable sugar prices in the domestic market, and sugar prices have been under control for the past 12 months, according to the ministry.
Sugar wholesale prices in India are restricted to a range of Rs 3,150-3,500 per quintal, while retail prices are limited to Rs 36-44.
