Overview
- Food Minister Pralhad Joshi said the government has permitted 15 lakh tonnes of sugar exports for 2025–26 and will review any increase to the minimum selling price after monitoring domestic prices.
- India’s sugar MSP has stayed at Rs 31 per kg since February 2019, while ISMA is pressing for roughly Rs 40–40.2 per kg, citing a higher FRP and an estimated production cost near Rs 40.24 per kg.
- OMC allocations for the latest E20 tender gave only about 0.28 billion litres to sugarcane-based ethanol, which ISMA warns will cut sugar diversion, idle distilleries and add to stock pressures.
- State pricing moves have lifted mill input costs, with Uttar Pradesh raising SAP by nearly Rs 30 per quintal to about Rs 400 for early varieties and Karnataka lifting the rate to Rs 330 with the increase shared by the state and mills.
- The Centre also removed a 50% duty on molasses exports, as ISMA projects gross sugar output at 343.5 lakh tonnes this season and the industry flags risks of surplus stocks and potential cane arrears.