India imposes sugar stock limits

India, the world's biggest sugar consumer, has imposed a 15-day stockholding limit on bulk consumers of sugar, effective September 1 to November 30, 2026, under the Essential Commodities Act. The order, issued by the India — Department of Food and Public Distribution, applies to bulk consumers such as confectioners, soft drink manufacturers, food processing units, and sweetmeat sellers that consume more than 10 metric tonnes of sugar per month. The government will verify compliance through GST returns and HSN codes. This measure follows an earlier 30-day stock limit on dealers and comes amid record sugar prices, with ex-mill prices rising to Rs 5,400-5,500 per quintal and retail prices up 13% year-on-year. The government is also considering limited duty-free sugar imports for the first time in nearly a decade, as well as reducing sugarcane diversion to ethanol, to boost domestic supply and curb prices during the festive season. Concerns over lower opening stocks for the 2026-27 season, estimated at 32-42 lakh tonnes against consumption of around 50 lakh tonnes, have added to supply worries.