By Oct. 26, 107 mills had begun processing cane for India’s 2026–27 sugar season, and the Indian Sugar & Bio-Energy Manufacturers Association (ISMA) said inventory carried over from last season and early output should help keep festive supplies adequate.
ISMA’s regional count included close to 87 mills in Maharashtra, two in Uttar Pradesh and 17 across Tamil Nadu, Karnataka and Gujarat.
The association put carryover stocks from 2025–26 at about 3.6 million metric tonnes. It reported roughly 400,000 tonnes of production as of Oct. 25, compared with about 60,000 tonnes on the same date in 2025.
ISMA Director General Deepak Ballani said supply remained adequate. “There is no cause for concern regarding availability,” Ballani said. The association also said it expects sugar prices to remain stable.
The Directorate General of Foreign Trade (DGFT) extended the duty-free import period for up to 1 million metric tonnes of raw sugar to Dec. 31, 2026, from Oct. 31. The quota is under a tariff rate quota, and the notification left the other conditions in place.
The government also lowered dealers’ stock limit from 4,000 to 2,000 quintals for the period from Sept. 15 through Nov. 30, 2026. Kolkata and its extended metropolitan area retain a 4,000-quintal ceiling. The government said the limit is intended to deter hoarding and speculative trading while supporting domestic supply and price stability. It said the Kolkata exception reflects the area’s role in bringing sugar from Uttar Pradesh and Maharashtra to eastern and northeastern markets.
The Economic Times, citing Press Trust of India, reported annual domestic sugar demand of 28 million to 28.5 million tonnes and said ISMA had not yet issued its production estimate for the 2026–27 season. ISMA said the industry had committed to keeping consumer supplies steady and paying cane growers on time.
Crushing is expected to expand in stages as harvesting advances and cane matures, ISMA said. Mills in western Uttar Pradesh were expected to start within three to four days of the association’s Oct. 26 statement, with central Uttar Pradesh to follow and eastern mills starting as cane matures.
