Domestic sugar prices in check as international sugar prices touch near peak

It is festival time across the country. The celebration of light and sound Diwali is just 6 days away on Sunday, 12th November 2023. And a day after that, the country will celebrate the pious bond of love between brothers and sisters- Bhai Duj.

No festival is ever complete without sweets. As usual, the demand for sugar will be higher to meet the increased demands of sugar. At a time, when international sugar prices are rallying at near chart highs amid indications of tighter global sugar supplies and infrastructural concerns at Brazilian ports, domestic sugar prices are at much comfortable rates.

The credit for keeping a check on the domestic sugar prices goes to the Government, which has been thoughtfully monitoring sugar demand and supply situations. In fact, for both October and November months, the Government had directed sugar mills to sell sugar as per tranches. For November, the Government has allocated sugar mills to sell 15 lakh tons of sugar till 15th November 2023. Another tranche of sugar is expected to be announced by the Government post 15th November.

A look at the current ex-mill prices of M-30 sugar at important centers in India on 6th November 2023. In Mumbai, Maharashtra, the ex-mill rate of sugar is about Rs. 38.50/kg. In Kanpur, Uttar Pradesh, the ex-mill rate of M-30 is Rs.39.30/-. The ex-mill price of M-30 in Kolkata and Muzaffarnagar is Rs. 39.80/- and Rs 39.30/- respectively.

Appreciating the Government’s proactiveness in keeping sugar prices at comfortable levels, Atul Chaturvedi, Executive Chairman at Shree Renuka Sugars said that “Sugar prices internationally have been moving aggressively northwards for quite some time. However, it’s nothing short of a miracle that Indian consumers have been totally insulated from unprecedented price rise in Sugar. Proactive approach by the Government in taking timely action and constant interaction with industry leaders has ensured domestic values have remained in check. Indian consumers can safely have a sweet cost-effective Diwali.”

Uppal Shah, Co-founder and CEO of ChiniMandi said that unlike other important kitchen items like Onions and Tomatoes, which had seen an upward movement than sugar prices. The price of sugar is well within a comfortable range. We appreciate the way the Government is taking important steps to control prices.

“Though there are concerns about a drop in sugar production due to fewer cane crops in Maharashtra and Karnataka, but I feel that there will be enough sugar availability in the country. The estimated sugar production in the current year is about 30 MMT, whereas the expected annual consumption is 28 MMT. The carried-forward sugar stock was 5.7 MMT. There will be enough sugar stocks available. I feel we will have yet another comfortable year,” he further added.


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