Mills slow in applying for sugar export orders, says govt

Sugar mills have sought export release orders from the Food Ministry for only about one-third of the total 445,000 tonnes of shipment permitted by the government, though the deadline expires this week.

With effect from April 19, the government allowed export of 445,000 tonnes of sugar under open general licences (OGL). The quota was allocated to 490 mills on the basis of their average production during the last three years.

According to the notification, the last date for submission for applications by mills opting to export sugar from their own production is May 18. However, the deadline for mills opting to source sugar for export from other factories is June 2.

“Mills have been slow in applying for export release orders. It seems they have lost interest in exports,” a senior Food Ministry official said.

So far, the Food Ministry has received applications for 160,000 tonnes of sugar, of which it has issued export release orders for only 143,000 tonnes, the official said.