Maharashtra mills get major share in sugar export quota, raise concerns over deadline

The Centre has allowed the export of an additional 87,587 metric tonnes of sugar, with Maharashtra receiving the largest share. However, sugar mills in the state have raised concerns over the strict deadline imposed for exports.

Out of the total quota, 13 sugar mills from Maharashtra have been allotted 71,707 metric tonnes, making the state the biggest beneficiary. The Centre has made it mandatory for mills to complete exports by June 30, 2026, as per an order issued by the Ministry of Consumer Affairs, Food and Public Distribution.

Despite securing a higher quota, industry players in Maharashtra have expressed dissatisfaction over the deadline, stating that it may restrict their ability to fully utilise export opportunities, Pudhari reported.

The concern comes at a time when global sugar prices are showing signs of recovery amid geopolitical tensions involving Iran. With rising crude oil prices, major producer Brazil is expected to divert more sugarcane towards ethanol production, which could open up export opportunities for India.

However, Maharashtra millers argue that such opportunities may be missed due to the June deadline. There is also discussion within the industry that pressure from private sugar mills in northern states may have influenced the decision to impose tighter timelines.

Earlier, the Centre had announced an export quota of 1.5 million metric tonnes for the 2025-26 season with a longer deadline of September 30, 2026. But due to unfavourable market conditions at the time, actual exports remained low.

In February this year, the government permitted an additional 500,000 metric tonnes for export, again with conditions requiring mills to confirm participation within 15 days and adhere to the June 30 deadline. Maharashtra mills say this shorter window should have been aligned with the earlier September timeline.

Millers in Maharashtra have now urged the Centre to relax the deadline condition so that they can take full advantage of improving global market conditions.

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