India sugar wholesale prices drop following government intervention

Wholesale sugar prices in India have declined following government intervention, though retail prices have yet to see a significant reduction. While wholesale rates in cities like Mumbai, Delhi, and Kanpur have dropped, retail prices in many markets remain stable at approximately 61 to 63 rupees per kg.

The Indian Sugar and Bio-energy Manufacturers Association (ISMA) and the National Federation of Cooperative Sugar Factories (NFCSF) have stated there is no sugar shortage in the country. Industry representatives noted that ex-mill prices have already fallen below 5,000 rupees per quintal across major producing regions, including Maharashtra, Gujarat, and Karnataka.

Industry leaders expect retail prices to ease substantially within the next 7 to 10 days as the price correction moves through the supply chain. The government has implemented measures to control prices, including setting stock limits for large consumers and dealers, cracking down on hoarding, and authorizing the duty-free import of 1 million metric tons of sugar.