There may be 9 million tonnes (mt) of sugar available from the current season for sales in domestic market in India during August-November period, which is seen as very tight in terms of supply due to festival demand. As the government and sugar mills are pinning hopes on an early start to the next crushing season from October to augment availability, monsoon rainfall will be the deciding factor in determining whether to import sugar.
In 2024, the government allocation during August-November period was 9.3 mt and the situation remained comfortable this season due to carry forward stock of 8 mt from 2023-24 season. If the closing stock drops to 4.7 mt (to carry forward for 2025-26 season), the government may need mills to produce 3-3.5 mt during first two months of next season, an industry expert said. Mills had produced 2.79 mt of sugar during October-November of 2024-25 season.
The government last week said that the notional closing stock of sugar on June 30 was nearly 11.2 mt and allocated 2.2 mt sugar quota for domestic sales during July. Total allocation of sugar quota so far during October 2024-July 2025 reached 22.95 mt, which is 6 per cent lower from 24.5 mt in the year-ago period. India had record 29 mt sugar consumption in 2024-25 season (October-September).
