Sugar imports get two-month extension as Centre moves to strengthen festive supplies

The Union government has extended the deadline for duty-free imports of one million tonnes of raw sugar to December 31, 2026, in a move aimed at improving domestic availability during the festive season.

A Finance Ministry notification confirmed the revised deadline under the Tariff Rate Quota (TRQ) arrangement. The government had initially permitted imports of the same quantity until October 31, following its decision announced on August 20.

Industry data indicate that approximately 2.6 lakh tonnes of raw sugar has been imported so far. Market participants attribute the relatively slow pace to unfavourable price differences between international and domestic markets.

Industry sources said the extended window would allow importers to purchase overseas supplies when global prices become competitive enough to make shipments commercially viable.

The move comes alongside other measures intended to maintain adequate supplies and contain domestic prices. These include restrictions on the quantities of sugar traders can hold in stock.

The government’s decision follows a downward revision in production expectations for the 2025–26 sugar marketing year, which runs from October to September. Production is now estimated at 306 lakh tonnes, compared with an earlier projection of 343 lakh tonnes.

Domestic consumption is estimated at between 280 lakh and 285 lakh tonnes annually. The revised production outlook has added to concerns over supply availability, prompting efforts to facilitate imports and manage stocks.

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