Govt likely to cap sugar exports to 10 mn tons this year: Official sources
The government is likely to restrict sugar exports to 10 million tonnes for the first time in six years in order to maintain enough domestic supply and prevent the rise in prices, according to official sources.
Mills have contracted for export of 9 million tonnes of sugar so far in the 2021-22 marketing year (October-September). Out of which, 7.5 million tonnes of the sweetener have been exported, the sources added.
India is the world's second-largest producer and exporter after Brazil.
''A notification on sugar export restrictions will be issued in a day or two,'' the sources said.
Closing stock of 6 million tonnes is required at the end of September 2022, to meet the domestic demand in the first two months of the new 2022-23 marketing year.
Also, the country's priority is first to meet the domestic requirement, keep prices under check and allow export only if there is surplus quantity, the sources said.
Restrictions are likely to be imposed months ahead of the closing of the current marketing year so that the contracted quantity of sugar is shipped smoothly, the sources added.
In 2020-21, the country exported 7 million tonnes of sugar.
(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)