India's sugar market eases as ex-mill price drops 18% to Rs 55 per kg
Ex-mill sugar rates in India fell to Rs 55 per kilogram, an 18% decline after a recent peak of Rs 67, following government steps to allow imports and curb hoarding.
India's ex-mill sugar price has retreated to Rs 55 per kilogram, an 18% drop from the record Rs 67 reached the previous week, after the central government permitted raw sugar imports and imposed limits on bulk consumers. Food secretary Sanjeev Chopra explained that the prior rise stemmed from mills raising prices rather than a supply deficit, citing sufficient domestic stocks and an estimated 306 lakh tonnes of production for the 2025-26 marketing year.
The Centre also authorized the import of one million tonnes of raw sugar and directed states to intensify inspections to prevent speculation. Prakash Naiknavare, managing director of the National Federation of Cooperative Sugar Factories, said "flying squads" are monitoring hoarding and expects further declines at the mill level. Despite the fall in ex-mill rates, wholesale and retail prices remain higher, averaging Rs 58.29 and Rs 63.05 per kilogram respectively, according to the consumer affairs ministry.
Why it matters
Lower sugar prices could ease household expenses and stabilize the domestic market.
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