Govt extends stock limit for sugar till Sept

As sugar prices are still ruling over Rs 40 a kg, the Centre has extended till September the stock limit order, under which the states are empowered to take action against hoarders and black marketeers.

The validity of the anti-hoarding order, first issued last March and was to expire on this January 31, has been further extended till September, a senior government official said today. The order was earlier extended for six months last July.

Under the stock and turnover limit on sugar, the Centre has prescribed the maximum quantity a trader can keep, while giving flexibility to states to lower the limit. It said, a trader has to sell his stocks within 30 days from the date he receives the consignment.

All sugar traders have to be licensed. While nationally, a registered dealer can stock only up to 2,000 quintals, each dealer in Kolkata and its adjoining areas can keep a maximum of 10,000 quintals at any point of time. This is so because, this is the largest sugar market in the country as it also caters to the entire Northeastern markets.

So far, 20 states, including all major producing states, have notified the stock limit order, sources said. However, only Madhya Pradesh, Maharashtra, Andhra Pradesh, Rajasthan and Punjab have taken noticeable actions under the anti-hoarding instrument, the sources added.