India raises September sugar quota to record 26.5 lakh tonnes to curb retail prices

The Food Ministry has allocated 26.5 lakh tonnes of sugar for September, including 13.5 lakh tonnes for September 16–30, alongside duty-free raw sugar imports. The intervention has pushed the all-India average retail price below ₹60 per kg ahead of Dussehra.

— Source publishedTue, 15 Sept, 2026, 22:15 IST·First seen Tue, 15 Sept, 2026, 22:25 IST·Source BL · Consumer & Economy

What happened

Government of India Food Ministry · India’s Food Ministry raised September sugar sales quotas to a record 26.5 lakh tonnes, seeking to lower retail prices

Key facts

  • 13.5 lakh tonnes allocated for September 16-30
  • 26.5 lakh tonnes total September quota
  • 13% year-on-year quota increase
  • 1 million tonnes duty-free raw sugar imports permitted
  • ₹59.25/kg all-India average retail price

What changed

India’s Food Ministry raised September sugar sales quotas to a record 26.5 lakh tonnes, seeking to lower retail prices before Dussehra. Retail sugar prices have fallen below ₹60/kg following quota increases and duty-free raw sugar imports.

Why this matters

Plan Dussehra sugar promotions and secure incremental inventory as the record September quota has pulled average retail prices below ₹60/kg.

What to watch

  • October monthly sugar quota and whether the government extends elevated allocations beyond the festival period.
  • Arrival pace, landed cost and actual distribution of duty-free raw sugar imports.
  • Ex-mill and wholesale sugar prices versus the ₹59.25/kg national retail average.
  • Festival demand trends for sweets, biscuits, confectionery, carbonated drinks and dairy desserts.
  • Any changes to ethanol diversion policy, cane output estimates, export restrictions or mill inventory levels.