Government Acts to Curb Sugar Price Rise, Ensure Adequate Availability During Festive Season

The Ministry of Consumer Affairs, Food & Public Distribution has detailed measures to curb recent domestic sugar price rises and ensure adequate availability ahead of the festive season. Sugar prices rose from ₹48.18 per kg on 20 July 2026 to ₹55.70 per kg on 20 August 2026 due to factors like lower domestic production (estimated at 306 LMT compared to an initial 343 LMT), weather damage, crop diseases, global tightening, and hoarding. The government clarified that the price increase is unrelated to ethanol diversion, noting that nearly three-fourths of ethanol now comes from grains. To counter hoarding and increase supply, the government has imposed stock limits on dealers and bulk consumers, initiated physical verification of stocks, permitted duty-free import of 10 LMT of raw sugar, and advised early crushing from 15 October 2026.