India rules out sugar import from Pakistan despite duty-free window
India clarified that Pakistan will not be allowed to supply sugar despite the 1 million-tonne duty-free raw sugar import window. The government will source from alternative global suppliers, maintaining existing trade restrictions on Pakistan while seeking to ease domestic shortages and rising sugar prices.
India will not allow sugar imports from Pakistan despite its decision to permit duty-free imports of raw sugar to augment domestic supplies, with the government signalling that the existing trade restrictions with Islamabad will continue to apply.
“India’s position and policy related to Pakistan is well known,” External Affairs Ministry spokesperson Randhir Jaiswal said at a media briefing on Friday, responding to a question on reports that Pakistani sugar producers were keen to supply the Indian market.
The clarification comes amid a sharp rise in domestic sugar prices and concerns over tightening supplies. The Centre has decided to allow duty-free imports of 1 million tonnes of raw sugar to improve availability and moderate prices.
Pakistan’s sugar industry has reportedly urged its government to explore the possibility of exporting sugar to India following the Indian decision to open up duty-free imports. However, New Delhi is not considering an exception to the trade restrictions imposed on Pakistan. On Wednesday, Islamabad floated a global tender to sell 1.05 lakh tonnes of sugar.
“If India needs more sugar, there are enough options available in the global market. We don’t need to source from Pakistan,” a source said.
New Delhi placed a blanket ban on direct and indirect import of all goods from Pakistan in May 2025 following the terror attack on tourists in Pahalgam the previous month.
Alternative supplies
India is among the world’s largest sugar producers and consumers, but domestic availability can tighten periodically because of fluctuations in cane output, diversion of sugar towards ethanol production and changes in mill production. Higher domestic prices have prompted the government to consider imports as a means of augmenting supplies.
The 1-million-tonne duty-free window is expected to provide Indian refiners and traders access to alternative overseas supplies.
For Pakistani sugar producers, the Indian market would have offered a significant nearby outlet at a time when Islamabad has also been seeking to expand exports.
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Source : The Hindu Businessline
