Sugar ex-mill prices down 18% to ₹55/kg after import move, curbs on hoarding: Food secretary
The Indian government has successfully reduced sugar ex-mill prices by 18% through the authorization of raw sugar imports and stricter enforcement against hoarding. Despite a decline in production estimates for the 2025-26 marketing year, officials maintain that domestic supply remains sufficient to meet demand.
Why it matters
Government intervention in commodity pricing is critical for managing food inflation and ensuring essential goods remain affordable for the general public.
The ex-mill price of sugar has declined by 18% to ₹55 per kg since the government's decision to allow imports and clamp down on speculation and hoarding of the sweetener, Food Secretary Sanjeev Chopra said.
Ex-mill prices of sugar had shot up to a record ₹67 per kg last week — a spike Mr. Chopra attributed to mills "jacking up" rates.
"Ex-mill price of sugar, which were jacked up by mills, have started cooling down. They have declined to ₹55 per kg and will further drop in the coming days," Mr. Chopra told PTI .
The jump in prices, he said, was not rooted in fundamentals, as the country has ample sugar stocks despite production for the 2025-26 marketing year (October-September) falling to 306 lakh tonnes, down from earlier estimates of 343 lakh tonnes. Annual domestic demand stands at around 280-285 lakh tonnes.
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