Government warns action on sugar mills over short-selling & orders compulsory lifting of August 2026 monthly quota
The government has warned sugar mills of strict action for failing to sell and lift their allocated August 2026 quota. With 22.50 LMT allocated, authorities are monitoring compliance to ensure domestic availability amid recent sugar prices exceeding ₹70 per kg.
The government has warned of strict action against sugar mills that fail to sell and lift their monthly allocated sugar quota for August 2026, in order to ensure adequate availability of sugar in the domestic market.
The Food Ministry has allocated a monthly sugar quota of 22.50 LMT for August 2026. The government has made it mandatory for sugar mills to sell the sugar allocated to them on a mill-wise basis during the month.
According to senior government officials, mills found to have “short-sold their August quota” could face punitive action. The move is aimed at ensuring that the allocated sugar actually reaches the market and is not withheld by mills. Officials have indicated that the government is closely monitoring the sale and lifting of the August 2026 quota.
The strict measures come amid rising sugar prices which breached Rs 70 a kilo at several cities across the country. The prices have dipped and are trading at reasonable levels.
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Source : ChiniMandi
