- Sugar dealers’ stock limit reduced from 4,000 to 2,000 quintals.
- New limit will apply from September 15 to November 30, 2026.
- Kolkata and extended metropolitan areas retain the 4,000-quintal limit.
- Ex-mill sugar prices have declined by around 20% in recent days.
GG News Bureau
New Delhi, 1st Sept: The Government of India has reduced the stock holding limit for sugar dealers from 4,000 quintals to 2,000 quintals, effective from September 15 to November 30, 2026, in a move aimed at ensuring adequate domestic availability and preventing hoarding and speculative trading.
Under the revised provisions, sugar dealers will not be permitted to hold stocks for more than 30 days from the date of receipt. They will also be barred from keeping more than 2,000 quintals of sugar at any time and at any location across the country.
However, the existing 4,000-quintal limit will continue in Kolkata and its extended metropolitan areas. The government said the exception takes into account the region’s specific market requirements, as Kolkata sources sugar from Uttar Pradesh and Maharashtra and supplies it to eastern India, including the North-Eastern region.
Government intensifies stock monitoring
The government has undertaken intensive monitoring and physical verification of sugar stocks involving mills, dealers and traders across the country.
The exercise has identified instances of excess stock holding, non-disclosure and irregularities in the movement and sale of sugar, according to the government.
The measures are intended to discourage excessive accumulation and speculative trading while facilitating the orderly movement of sugar through the supply chain.
The government said ex-mill sugar prices have declined by around 20% in recent days, while retail prices have also started showing a downward trend.
Online stock declaration to continue
The government is also continuing a mechanism for regular declaration and updating of sugar stocks through the Department of Food & Public Distribution’s online portal.
Physical verification of sugar stocks will continue in the coming weeks, with authorities maintaining close watch over market developments.
The government said the measures are intended to maintain adequate availability, orderly supplies and price stability while ensuring that genuine sugar trade and distribution activities continue without disruption.
