The Centre has released 1.4 million tonnes of sugar for the second half of October as mill prices surge; it has also cut stock limits for dealers to curb price rises ahead of Diwali
The government has issued a notification reducing the stock holding limit for sugar dealers to 1,000 quintals, effective from October 15 to November 30, as part of its efforts to control retail prices of the sweetener during the festival period. On October 1, the food ministry had said that the government has reduced the stock holding period for sugar dealers to 15 days and fixed the stock holding limit at 1,000 quintals, with effect from 15 October to November 30, 2026, except in Kolkata and its extended metropolitan areas and the State of Assam. The Department of Food and Public Distribution on Tuesday issued a gazette notification to implement this decision, which will come into effect from October 15. In August, the ministry imposed a stock-holding limit of 4,000 quintals on sugar dealers, applicable from August 1 to November 30, along with a maximum holding period of 30 days from the date of receipt. The limit was later tightened to 2,000 quintals from September 15. "The revis
Dealers can hold sugar for only 15 days from October 15 to November 30, while Kolkata and its extended metropolitan areas, along with Assam, have a 2,000-quintal limit
The new sugar season began on October 1, with the FRP for sugarcane set at ₹365 per quintal for the 2026-27 season at a basic recovery rate of 10.25 per cent
The government has cut sugar stock limits for bulk consumers to 15 days from September 1, as prices hit record highs ahead of the upcoming festive season
The government will take stringent action against the sugar mills violating monthly stock holding limit orders, the Food and Consumer Affairs Ministry said on Friday. The ministry prescribes monthly stock holding limits for white/refined sugar to prevent hoarding and control price increases. For April, the stock holding limit is set at 23.5 lakh tonnes. In a directive issued to mills, the ministry said it has found repeated violations by some group and individual sugar mills despite previous warnings, prompting the issuance of new, stricter guidelines. Key penalties include: for first-time violations, 100 per cent of excess sugar sold will be deducted from the subsequent month's release quota. Subsequent violations will see progressively higher deductions: 115 per cent for the second, 130 per cent for the third, and 150 per cent for the fourth violation. Mills dispatching less than 90 per cent of quota without intimation will have restricted future allocations. Multiple violatio
Additionally, the government is likely to extend the current restrictions on sugar exports indefinitely after October 31
The government has given a final call to all legal entities engaged in sugar trade to declare their stocks on a food ministry website by October 17, and warned that strict action will be taken against those for violation. On September 23, the Food Ministry had issued an order directing all sugar stakeholders -- wholesalers, retailers, big chain retailers and processors -- to weekly update their stock position on its website. The Ministry, however, observed that many of the legal entities dealing with sugar trade/storage have "still not registered" themselves on the sugar stock management system. "Various instances have been reported to the Directorate of Sugar and Vegetable Oils, where many of these legal entities are having possession of a substantial quantity of unreported sugar stocks," the ministry said in a letter written to all stakeholders. There are cases where these entities are not updating their sugar stock on a regular basis, it said, adding this not only violates the .
India is one of the world's top sugar consumers
Stock limit for sugar dealers shall be 10,000 quintals in Kolkata
There is no shortage of sugar for domestic consumption in the country, according to Ram Vilas Paswan