The Centre has decided to allow exports of 15 lakh tonnes of sugar for the current 2025-26 season, according to the Union Minister of Consumer Affairs, Food and Public Distribution, Pralhad Joshi. Also, the 50 per cent export duty on molasses has been removed stated Joshi in a letter to the Karnataka Chief Minister, Siddaramiah on Friday. However, Joshi has not mentioned a time frame by when the exports of sugar will take effect.
This is expected to help improve the ex-mill prices of the sweetener as expectations of a higher domestic sugar output is weighing on the prices. The sugar industry was demanding that the government allow exports of 20 lakh tonnes of the sweetener for 2025-26 season.
“The government’s move to allow 15 lakh tonnes exports is definitely good for the industry,” said Deepak Ballani, Director General, Indian Sugar and Bio-energy Manufacturers Association (ISMA) “It will help stabilise the domestic prices as we will have a good production this season. At least some sugar will go out and there would be some balance,” he added.
