Strengthening agri-exports: The role of processed sugar in India’s global trade strategy
India’s sugar industry is transforming into a globally competitive sector, driven by higher production, improved recovery rates, and efficiency gains. With output rising significantly, the government has allowed 20 lakh tonnes of exports, reinforcing its strategic shift toward global markets while managing surplus and strengthening its agri-trade position.
The Indian sugar industry has undergone a significant structural transformation in recent years, evolving from a domestic commodity supplier into a globally competitive manufacturing sector aligned with international standards for refined and processed sugar.
As we move through the current sugar season, this shift has become central to India’s agricultural trade strategy. Recent production data show that by the end of January 2026, Indian sugar mills produced 193.05 lakh metric tonne (LMT) of sugar, compared to 165.30 LMT during the same period last year. This increase, along with an improved recovery rate of 9.11 per cent, highlights stronger operational efficiency and the sector’s ability to support higher export volumes.
To manage this surplus, the Ministry of Consumer Affairs, Food and Public Distribution has adopted a calibrated export policy. For the 2025–26 season, the government approved an initial export quota of 15 lakh tonne, followed by an additional 5 lakh tonnes, taking the total to 20 lakh tonne.
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Source : The Hindu Business line
