Import window for duty-free raw sugar extended till Dec 31

India extends the deadline for duty-free raw sugar imports of 10 lakh tonnes to December 31 as subdued imports leave much of the quota unused.

The industry is estimated to have imported only about 3 lakh tonnes of the 10 lakh tonnes allowed under a notification issued on August 20 to ease domestic supply constraints. Imports have remained subdued mainly because government measures to curb domestic prices reduced the incentive to import, industry sources said.

It is estimated that the industry has imported only about 3 lakh tonnes of the 10 lakh tonnes of raw sugar allowed under a notification issued on August 20 to ease domestic supply constraints.

This was mainly because government measures to curb domestic prices reduced the incentive to import, industry sources said. The government had allowed duty-free imports of raw sugar under the tariff rate quota (TRQ) mechanism after domestic sugar prices hit record highs in August, amid a fall in domestic production and exports of available supplies.

Meanwhile, industry expects sugar production in the 2026-27 sugar season (Oct-Sep) to be lower than last year due to El Nino-induced drought.