The Government has said that it has received multiple representations and suggestions from sugar industry associations seeking an increase in the Minimum Selling Price (MSP) of sugar.
In a reply to an unstarred question in the Lok Sabha on December 10, 2025, Minister of State for Consumer Affairs, Food and Public Distribution Nimuben Jayantibhai Bambhaniya said that government is consistently monitoring ex-mill prices of the sugar. Appropriate measures shall be taken to safeguard the interest of sugarcane farmers as well as sugar industry as and when deemed appropriate.
Responding to questions raised by MPs Sudheer Gupta, Chavan Ravindra Vasantrao and Dhairyasheel Sambhajirao Mane, the minister acknowledged that the industry has sought a revision in the sugar MSP.
However, the government clarified that no assessment has been carried out to evaluate the financial implications of revising the sugar MSP on stakeholders, including mills, sugarcane farmers and consumers. As a result, no timeline has been fixed for taking a decision on revising the MSP.
The minister also stated that the Union Government has held no deliberations or consultations with State Governments, sugar mills or farmer associations in this regard.
The MSP of sugar has remained unchanged since February 2019, even as industry bodies continue to push for an upward revision, arguing that stagnant prices are impacting mill viability and timely payment of cane dues to farmers. Since 2019, the cane FRP has increased from Rs. 275 per quintal to Rs. 355 per quintal (2025–26), a 29% increase.
