Raw Sugar Imports

"Indian exports for the coming season look more likely they will be canceled, at least until after the election," said Michael McDougall, managing director at Paragon Global Markets

India will soon permit import of 3 lakh tons of raw sugar at a concessional rate of 25 per cent import duty again normal 40 per cent duty. Import is most likely to be permitted to sugar mills in southern states which are facing scarcity and prices there are quoted Rs.2-2.50 higher than in Maharashtra.Ramvilas Paswan, Union Consumer Affairs, Food and Public Distribution minister tweeted yesterday night that India will soon decide importing sugar. He however not clarified when and how much and who can import, nor any clarity on duty rates. However, sources close to development said that, "south Indian mills will get permission to import 3 lakh tons to be imported, refined and sold by mid-October." From October end new crop sugar will start coming in to market and import supplies at that time will not help manage supply balance.Government allowed import of raw sugar to mills and refineries three months back and quota was allocated for 5 lakh tons at zero import duty but that has not ...

Sugar prices in Indian markets remain subdued after government allowing import of duty free 5 lakh tons raw sugar to refineries and mills and in global markets prices have fallen sharply making import viable even at 40 per cent duty. While traders have not contracted import paying duty as of now as when sugar arrives, possibly in July they will be liable to pay 5 per cent IGST and market has rightly read the government message that all measures will be taken to ensure sugar prices remain under control. A trade representative said that, "even from the five lakh quota announced over a month ago for importing raw sugar duty free, complete quota import may not happen looking at domestic market situation." Wholesale market has seen Rs.1 Per kg moderation in prices after quota was announced despite closure of crushing season. This is, according to the same source, because of mills supply has increased.In international market benchmark sugar no 11 contract price fell 30 per cent in little ...