The Indian government on Thursday announced a ban on sugar exports until the end of September 2026 in a move aimed at protecting domestic supplies and preventing a rise in local prices.
India said the restriction, contained in a government order issued late Wednesday, takes immediate effect, although limited exceptions would be allowed for consignments already in the export pipeline.
The order also stated that sugar exports conducted under government-to-government food security agreements with other countries would still be permitted.
According to the directive, the export ban will remain in force until September 30, 2026.
The decision comes amid growing concerns that India’s next sugar harvest, expected to begin around October, could be negatively affected by below-average monsoon rainfall linked to the El Niño weather pattern.
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Authorities are also grappling with economic pressure caused by the ongoing Iran war, which has affected India’s economy due to its heavy dependence on Middle Eastern energy supplies and fertiliser imports.
The uncertainty surrounding energy costs and import pressures has further raised concerns over the country’s economic growth outlook.
Government data shows that India’s sugar exports have declined significantly in recent years after reaching a record 11 million tonnes in the 2021–2022 season.
Exports later dropped to 6.3 million tonnes in 2022–2023 before falling sharply to about 100,000 tonnes in 2023–2024.
Shipments, however, recovered slightly to around 900,000 tonnes in the 2024–2025 season.