DGFT Opens Fresh Bids for Remaining 2.02 Lakh MT Raw Sugar Import Quota

The Directorate General of Foreign Trade (DGFT) has invited fresh online applications from eligible sugar mills and refiners for allocation of the remaining 2,02,550 metric tonnes (MT) of raw sugar import under the Tariff Rate Quota (TRQ) scheme.

Meanwhile, on Wednesday, office-bearers of the National Federation of Cooperative Sugar Factories Ltd. (NFCSF) and the Indian Sugar & Bio-energy Manufacturers Association (ISMA) held a press conference on the issue of sugar prices, claiming that both ex-factory and retail prices have declined.

The fresh application window follows Public Notice No. 28/2026-27 issued by the Ministry of Commerce and Industry to distribute the unallocated portion of the duty-free import quota.

The government had initially permitted duty-free imports of 10 lakh MT of raw sugar under the TRQ scheme. In the first round of applications, reviewed on August 28, eligible applicants were allocated 7,97,450 MT, leaving a balance of 2,02,550 MT.

To allocate the remaining quota, the DGFT has opened a seven-day online application window through its digital portal. The allocation process will differ from the first round, with applications now being considered through a daily batch mechanism.

Applications submitted by 5:30 PM on a given day will be grouped together and processed on the following working day. Applications received after the 5:30 PM cut-off will be considered in the batch for the subsequent working day.

Pro-rata allocation if demand exceeds quota

The remaining quota will be allocated based on the demand received each day. If the total quantity sought by applicants in a particular daily batch exceeds the available balance of 2,02,550 MT, the quota will be distributed among eligible applicants on a pro-rata basis.

Once the entire remaining quota is exhausted, applications submitted subsequently will not be considered for allocation.

The DGFT has clarified that online submission timestamps will determine the eligibility and processing of applications. Physical or offline applications will not be accepted under the fresh allocation process.

The move comes as the government seeks to facilitate additional raw sugar imports through the duty-free TRQ route while ensuring that the remaining quota is distributed among eligible industry participants through a transparent, demand-based mechanism.

Meanwhile, on Wednesday, office-bearers of the National Federation of Cooperative Sugar Factories Ltd. (NFCSF) and the Indian Sugar & Bio-energy Manufacturers Association (ISMA) held a press conference on the issue of sugar prices, claiming that both ex-factory and retail prices have declined.

Ex-Factory and Retail Sugar Prices Declining: NFCSF

In the press conference, NFCSF President Harshvardhan Patil said that ex-factory sugar prices have been declining continuously. He said the country has sufficient sugar to meet domestic requirements and retail prices are expected to come down further in the coming days.

Responding to a question, Patil said there is no shortage of sugar in the country for the upcoming festive season. The National Federation and ISMA have jointly decided that sugar mills will begin crushing operations from October 15 to increase sugar supplies.

He said that in Maharashtra, the date for the commencement of crushing operations at sugar mills is decided by a committee and subsequently approved by the state government. “We are asking the state government to initiate the process in this regard,” he said.

ISMA Director General Deepak Ballani said that ex-mill sugar prices have declined by 30 percent from their peak levels. Retail prices have also come down and may decline further. He said that an early start to the crushing season would help increase sugar supplies. 

Meanwhile, the government has invited applications for the remaining approved quantity of sugar imports. Importers are expected to submit their applications shortly, which would further improve supplies through imports.

The surge in sugar prices began after July 15, but most of the increase occurred in August. However, within a few days, government measures and industry initiatives have helped bring prices under control.