MIEQ vs MAEQ – Distinction between both sugar export policies


With a view to facilitate export of sugar during the Sugar Season 19-20 the Department of Food & Public Distribution has been announcing various schemes. For the sugar season 2018-19 the Government of India announced the MIEQ export policy, whereas, for the sugar season 2019-20 the Government announced the MAEQ policy.

The below table exhibits the difference between the policy of Sugar Season 2018-19 and policy of Sugar Season 2019-20

Policy Changes2018-2019 – MIEQ2019-2020 – MAEQ
Policy BackgroundProduction based assistance
(138.8/Qntl x 300 million)
Marketing Assistance
Characteristic of QuotaMinimum Indicative Export QuotaMaximum Admissible Export Quota
Quantity in LMT5,000,0006,000,000
Expected sugar to be exported against per tonne cane
16.74 kg24 kg
Cane crushed3018.01 LMT2500 LMT (expected)
Sugar Production330 LMT275 LMT (expected)
Minimum Quantity of Export100%50%
Ethanol Quantity Supply (Contract with OMC)80%Not linked
Compliance of Govt. directives
(Reserve Quota, Buffer Stock, MSP, etc.) & certificate of the
same from the state Goverment.
100%Not linked
Atleast 27% of FRP payment by December 2018YesNot linked
Extent of AssistanceReimbursement against invoiceLumpsum payment against Proforma A and Declaration
Financial Assistance:
a) Production Subsidy8300 (approx)
b) Transport Subsidy for coastal based region25003428
c) Transport Subsidy for Non coastal based region30003428
d) Ocean Freight2620
e) Marketing, Handling, Quality Upgradation etc4400
Total Assistance for COASTAL MILLS10,80010,448
Total Assistance for NON COASTAL MILLS11,30010,448
Through land Custom – Nepal, Bhutan , SEZ10,8267,828
Documents Needed
Bank Realization CertificateAt the time of submitting documents to
avail subsidy
Can submit 120 days later after Release of Assiatnce to claim subsidy
Claim SettlementSingle claimFirst tranche 50% of MAEQ followed by mutilple tranches
Withdrawal of schemeDFPD can withdraw schemeDFPD can withdraw scheme
Claim SubmissionWithin 90 Days of Date of Last BRCWithin 90 days of date of Last BL
Reallocation of quota of Non performing millsNot applicableGovt to review it every Quarter and redistribute the quota of Non Performing
mills to Performing mills


Click here to view the notification – Indian Sugar Export Policy 2019-20



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