India Extends Duty-Free Raw Sugar Import Deadline to December

The Government of India extended the deadline for duty-free imports of 1 million tonnes of raw sugar under the Tariff Rate Quota (TRQ) scheme to December 31, 2026. The move, announced by the Directorate General of Foreign Trade, pushes the previous October 31 deadline back by two months to ensure adequate domestic supplies and stabilize prices during the festive season.

Despite the quota, only approximately 2.6 lakh tonnes of raw sugar have been imported so far. Industry sources attribute this low volume to a lack of price parity, as international prices have not been sufficiently competitive compared to domestic rates. The extension maintains the original quantity permitted and the existing conditions for raw sugar classified under Exim Code 170114.

The policy shift follows a downward revision of sugar production estimates for the 2025-26 marketing year, which dropped to 306 lakh tonnes from an initial forecast of 343 lakh tonnes. While this remains above the estimated annual demand of 280-285 lakh tonnes, the government has implemented stockholding limits on traders to prevent price spikes. Additionally, a high-level committee was formed to address sugarcane farmers' concerns regarding recovery verification practices, the ex-mill Minimum Selling Price, and remunerative returns.