India Allows Duty-Free Import of 1 Million Tonnes of Raw Sugar, First in Nearly a Decade

en.Wedoany.com Reported - Dimension News, August 20 — India's Directorate General of Foreign Trade under the Ministry of Commerce issued a notification revising its raw sugar import policy, allowing duty-free imports of 1 million tonnes of raw sugar under the Tariff Rate Quota (TRQ) framework, valid until October 31, 2026.

Domestic sugar prices in India have surged sharply due to lower production and low inventories. The all-India average ex-factory price has risen to Rs 5,400–5,500 per quintal, compared with Rs 3,900 in the same period last year; retail sugar prices have increased by approximately 13% year-on-year to Rs 52.30 per kilogram. Over the past two months, sugar prices in India have accumulated a rise of nearly 40%.

India is the world's largest consumer of sugar, and this import marks the country's first procurement of overseas sugar in nearly a decade. The notification allows sugar mills and refiners to apply for quotas between August 21 and 28. Analysts stated that India's increased imports are expected to provide support to raw sugar futures prices on both London and New York exchanges.