The government has amended the conditions governing the import of raw sugar under the TRQ scheme. Importers will now have to process the raw sugar into white or refined sugar and sell it in the domestic market within two months of filing the Bill of Entry.

 

The change was notified by the Directorate General of Foreign Trade (DGFT) through a corrigendum to Public Notice No. 27/2026-2027, issued on August 20, 2026. The original rules required imported raw sugar to be refined in sufficient time for sale in the domestic market by October 31, 2026.

 

Under the revised provision, the deadline will now be calculated separately for each consignment rather than from a single fixed date.

 

The amended provision states that raw sugar imported under the TRQ must be processed into white or refined sugar within a reasonable period after import. However, the importer must complete the conversion and sell the refined sugar in the domestic market within a period not exceeding two months from the date of filing the Bill of Entry.

 

The earlier provision required importers to ensure that the raw sugar was processed and made available for domestic sale by October 31, 2026. The DGFT said all other terms and conditions of the August 20 public notice would remain unchanged.

 

The notification has been issued under the powers granted to the DGFT under paragraphs 1.03 and 2.04 of the Foreign Trade Policy, 2015-2020.

The rule change comes as sugar prices have risen in the domestic market. The Indian Sugar and Bio-Energy Manufacturers Association (ISMA) said Monday that there is no shortage of sugar in the country and predicted that retail prices could decline in the coming days.

 

ISMA President Niraj Shirgaokar attributed the recent increase to factors including speculative buying by traders and bulk consumers, along with lower-than-estimated production.

 

“India does not have a sugar shortage. Our production and stock position remain fundamentally comfortable,” Shirgaokar told reporters at a press conference.

 

Government data showed that the average all-India retail price of sugar stood at Rs 63.05 per kg on Monday, compared with Rs 48.73 per kg a month earlier — an increase of around 29 per cent.

 

The maximum retail price stood at Rs 75 per kg, while the model price was around Rs 65 per kg. ISMA said the government's decision to permit imports, along with stockholding limits imposed on traders and bulk consumers, is expected to ease prices in the coming days.