The Government on 18 September 2026 relaxed the sugar stockholding limit for bulk consumers from 15 to 30 days' consumption.
Stock held beyond 15 days must come only from sugar imported under the Advance Authorisation Scheme (AAS) or the Tariff Rate Quota (TRQ); open-market purchases stay capped at 15 days.
Bulk consumers must declare stocks every Friday on the Department of Food and Public Distribution's portal.
Retail sugar fell about 10% from its August peak (Rs 65 to Rs 58.50/kg) while ex-mill prices fell nearly 25%; the Government asked traders to pass on the cut.
Sugarcane farmers get the higher FRP of Rs 365 per quintal from 1 October 2026.
Duty-free import of inputs physically incorporated in an export product
Key: Run by DGFT under the Foreign Trade Policy 2023; input quantities follow Standard Input-Output Norms (SION). Existing sugar authorisations under SION E52 were given a one-time option to convert to TRQ.
Allows a fixed quantity of imports at a concessional tariff
Key: DGFT notified on 20 August 2026 a duty-free TRQ of 10 lakh MT of raw sugar, valid up to 31 October 2026.
Minimum price sugar mills must pay cane farmers
Key: Approved by the Cabinet Committee on Economic Affairs; 2026-27 FRP Rs 365/quintal, up Rs 10 from Rs 355 in 2025-26, at a basic recovery of 10.25%, with Rs 3.56/quintal premium per 0.1% higher recovery and a floor of Rs 338.3 for mills below 9.5%.
Lets the Centre regulate production, supply, stocks and distribution of essential commodities; the 2026 stock-limit order is issued under Section 3(1).
Issued 1 May 2025 under Section 3 of the ECA; superseded the Sugar (Control) Order, 1966 and the Sugar Price (Control) Order, 2018; brought khandsari units above 500 TCD crushing capacity under regulation and links mill ERP systems to the DFPD portal.
Sugar policy, stock limits and stock-disclosure portal
Administers AAS and notifies import quotas such as the sugar TRQ
Private sugar mills' industry body consulted on prices
GS Paper 3 > Indian Economy > Food Management, Price Control
General Awareness > Economy > Government Policy
The Fair and Remunerative Price (FRP) of sugarcane is approved by the
Answer: Cabinet Committee on Economic Affairs
Maximum stock an entity may hold, fixed under the Essential Commodities Act to curb hoarding
A quota of imports allowed at a lower or zero duty, with the normal tariff above it