Indian government likely to scrap export duty on sugar: NFCSF

India’s sugar industry expects the government to take a call this week to scrap export duty on sugar in the wake of forecast of a record output for the second consecutive year.

“We are hopeful that the government will very soon remove the export duty on sugar,” the National Federation of Cooperative Sugar Factories (NFCSF) said.

Representatives of the NFCSF and the Indian Sugar Mills Association (ISMA) had met food ministry officials after ISMA revised India’s 2017-18 sugar production estimate to 29.5 million tonnes from its second advance estimate of 26.1 million tonnes.

In order to reduce the closing stock of 2017-18, the industry aims to export 1.5-2 million tonnes of sugar till October 2018, when the new sugar year begins.

The industry has also demanded that the government bring back the mandatory sugar export scheme for the mills, which was implemented in 20151-6 with an incentive of Rs 75 per tonne of sugarcane for the sugar mills linked to exporting allocated quota of sugar.

According to government statistics, India has been exporting more sugar than it has been importing since 2010-11, except during the current year.

Shekhar Ghosh is consulting editor, He has edited and written for publications like Business India, Business Standard, Business Today, Outlook and many other international publications. He can be reached at


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