The government on Thursday (August 20, 2026) allowed duty-free imports of 10 lakh tonnes of raw sugar under a Tariff Rate Quota (TRQ) till October 31 amid rising prices of the sweetener in local markets. The move is aimed at enhancing domestic availability and capping price rises.
“Applications for TRQ are invited online from millers and refiners possessing their own functional capacity to convert raw sugar into white/refined sugar. Food Minister Pralhad Joshi announced in a social media post that bulk consumers using more than 10 tonnes of sugar a month will not be allowed to hold stock beyond 15 days’ consumption. The Food Ministry has notified the Sugar (Stockholding Limit of Bulk Consumers) Order, 2026, which covers confectioners, soft drink manufacturers, food processing units, sweetmeat sellers and other institutional buyers. The order will come into force from September 1 and remain in effect till November 30. This follows an earlier order, effective August 1 to November 30, that capped stock with sugar dealers at 4,000 quintals for 30 days. The application window is from August 21, 2026, till August 28, 2026,” it said.
“Preference in allocation shall be given to the importers who give an undertaking to complete such import by 15th October 2026,” it said, adding that failure to utilise or surrender the allocated quantity within the prescribed period shall constitute non-compliance.
To control prices, the government also imposed a stockholding limit on bulk consumers using more than 10 tonnes of sugar a month. The all-India average ex-mill price rose to ₹5,400-5,500 per quintal on Tuesday, up from ₹3,900 a year earlier, according to an industry body. Retail sugar prices climbed about 13% year-on-year to ₹52.30 per kg (as of August 18) from ₹46.34 a year ago, according to Consumer Affairs Ministry data. Earlier reporting noted: To control prices, the government has also imposed a stockholding limit on bulk consumers who use more than 10 tonnes of sugar a month, capping their stock at 15 days’ consumption. Earlier reporting noted: The government on Thursday allowed duty-free imports of 10 lakh tonnes of raw sugar under a tariff rate quota till October 31 amid rising prices of the sweetener in local markets.
The order comes against the backdrop of a sharp rise in sugar prices, with ex-mill rates hitting record levels due to a lower opening stock ahead of the 2026-27 season.
“The import policy for raw sugar is amended to allow 10 lakh MT of duty-free imports under Tariff Rate Quota (TRQ) till October 31, 2026,” the Directorate General of Foreign Trade (DGFT) said in a notification.
