Early Times Report
NEW DELHI, July 28: The government on Tuesday directed that no dealer of sugar should hold stock for more than 30 days and also imposed a stock limit of 4,000 quintals as part of its efforts to keep prices of sweetener under control.
The order would come into force with effect from August 1, 2026, and would remain in force up to November 30, 2026. Earlier, there was no quantitative restriction on dealers of sugar, although the ministry fixes a monthly sale quota for sugar mills.
The decision to impose a stock limit has been taken against the backdrop of an increase in the ex-mill prices of sugar to Rs 45 per kg from Rs 39 per kg in the last three months.
In a gazette notification, the Ministry of Food and Consumer Affairs imposed this restriction using powers under section 3 of the Essential Commodities Act, 1955, and the Sugar (Control) Order, 2025.
"... Central Government hereby directs that no dealer of sugar shall hold any stock for a period exceeding thirty days from the date of receipt of such stock and shall not keep sugar in stock at any time and in any place throughout the country in excess of 4,000 quintals," the notification said. To keep prices under check amid a forecast of a deficit monsoon, the Centre has already banned sugar exports.
On the government's decision, industry body ISMA Director General Deepak Ballani said, "We welcome the Government's continued focus on ensuring a stable and well-regulated sugar supply chain across the country.
Ballani noted that this is a prudent and seasonal measure aligned with the government's broader objective of maintaining price stability and adequate availability of sugar for consumers.
As per the notification, the order would not apply to sugar stocks held on the government account, or by dealers nominated by the State Government or an officer authorised by it to hold stock for distribution through fair price shops under the Public Distribution System. |
