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USDA Report

India Announces Reduction in Sugar Export Subsidy for Market Year 2020-21 – June 21st 2021


24th June 2021

On May 20, 2021 the Department of Food and Public Distribution, under the Ministry of Consumer Affairs, Government of India, slashed its sugar export subsidy by $27.32 per metric ton under the Maximum Admissible Export Quota (MAEQ). This assistance program facilitates sugar exports and subsidizes any related additional production costs for domestic sugar mills. The move aims to accelerate diversion of sugar toward ethanol production as India inches closer to its immediate blending goal of E-10 by 2022, while gradually reining in subsidized exports of Indian sugar in the global markets.

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