Congress alleges ₹36,000-crore ‘sugar scam’ over festive price rise

The Congress party has accused the Indian government of orchestrating a ₹36,000-crore sugar scam by failing to manage supply shortages ahead of the festive season. They allege that the government's policy of diverting sugarcane for ethanol production, combined with inaction on hoarding, has led to a sharp spike in retail sugar prices.
Why it matters
This highlights the political tension surrounding food inflation and government resource management, which directly impacts the cost of living for millions of citizens during major festivals.
The Congress on Thursday (August 27, 2026) accused the Modi government of facilitating a ₹36,000-crore “sugar scam”, alleging that its failure to act on a shortage allowed hoarders and black-marketeers to profit from a sharp rise in sugar prices ahead of the festive season.
The article focuses heavily on the opposition party's allegations against the ruling government without providing a counter-statement or government defense.
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