Centre tightens sugar stock curbs amid record prices, bulk buyers face 15-day cap
Any bulk consumer using or consuming more than 10 tonnes of sugar a month will not be allowed to hold stocks for more than 15 days.
The Indian government has implemented stricter limits on sugar stockpiling, imposing a 15-day cap on bulk buyers from September to prevent prices from soaring ahead of the festive season. This move comes as record-high sugar prices have raised concerns about supply shortages during the busy holiday period. The restriction applies to large industrial consumers, such as confectioners, soft drink manufacturers, food processors, sweetmeat sellers, and other institutional buyers who purchase sugar in bulk. Government institutions and local bodies are exempt from this new regulation.
The government's decision was announced on August 19, with the 15-day limit coming into effect on September 1 and remaining in place until November 30. This policy shift aims to ensure adequate supply of the sweetener during peak demand times, such as Ganesh Chaturthi, Dussehra, and Diwali. The government took action after issuing a previous order in July that limited sugar stockpiles for dealers to a maximum of 30 days and a total stock of 4,000 quintals, effective from August 1 until November 30.
Pallavi Singhal, a journalist specializing in agriculture, food policy, and rural economics, reports that wholesale sugar prices in key markets like Kolhapur have reached a record high of ₹53.50 per kg during this surge in demand. The surge in prices is attributed to the seasonal increase in consumption between August and November, driven by major festivals in India.
Written by urgent.news from Hindustan Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
