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Raw sugar will have to be refined within two months

The government has amended the rules regarding raw sugar imported under Tariff Rate Quota i.e. TRQ. According to the new rule, after the imported raw sugar arrives in the country The process of refining, converting into white sugar and selling it in the domestic market will have to be completed within two months.

Under the earlier arrangement, there was a condition to process the imported raw sugar within a reasonable time and make it available in the domestic market by October 31, 2026. Now the government has set a clear deadline of two months for refining and selling.

Government’s eye on hoarding and black marketing

The main objective of the change in rules is to reduce the possibility of storing imported raw sugar for long periods. The government wants the imported sugar to be processed and reach the market soon, so that availability remains and there is no additional pressure on prices due to hoarding.

In view of the possibility of increase in demand for sugar during the festive season, this step is considered important to maintain the supply in the market.

Permission to import 10 lakh tonnes of sugar till 31 October

The government has till 31 October 2026 Import of 10 lakh tonnes of sugar Is allowed. Along with this, stock limit has also been set for cold drink and ice cream manufacturing companies, traders and wholesale buyers.

Its objective is to keep adequate quantity of sugar available in the market and to control the situation of excessive stock accumulation by large buyers.

Sugar prices increased by about 29 percent in a month (Sugar Price Hike)

According to government data, on August 24, 2026, the all India average retail price of sugar in the country will be around Rs 63.05 per kilogram doing. A month ago this price was around Rs 48.73 per kg. That means the average retail price of sugar increased by about 29 percent during this period.

The maximum retail price of sugar has reached Rs 75 per kg in some markets. The rise in prices in such a short period has increased the concern of both the government and the market.

Why is the price of sugar increasing?

Many reasons are being given for the increase in sugar prices. The reasons include the impact of weather- conditions on sugarcane production, high crushing rate of sugarcane in Maharashtra and problems to some varieties of sugarcane in Uttar Pradesh.

Apart from this, increase in demand due to festive season is also affecting the prices. Along with supply- changes in the international market, efforts by bulk buyers to accumulate more stock in the domestic market are also being considered as a reason for the rise in prices.

Will sugar prices reduce now?

The new rules of the government are expected to help in increasing the availability of sugar in the market and controlling hoarding. If the imported raw sugar gets refined and reaches the domestic market within the stipulated time and the stock limit is effectively followed, then the pressure on prices can be reduced.

However, the level at which retail prices of sugar will reach in the coming days will depend on demand, supply, availability of sugarcane in the market and international conditions. At present, the government’s focus is on ensuring adequate availability of sugar and controlling unnecessary price rise.

What will be the impact on common people?

The increase in sugar prices has a direct impact on the domestic budget. Apart from this, the costs of companies making sweets, bakeries, ice cream and other food products may also be affected. Due to the latest step of the government, consumers are expected to get some relief in the coming time as the supply in the market improves.