India Prohibits Sugar Exports Till Sept 30, 2026; Notification Issued May 13

The article references forecasts of El Niño conditions potentially affecting the monsoon and sugar production, suggesting further risk to output in major growing regions.

The announcement comes after India had previously allowed mills to export 1.59 million metric tons of sugar, with expectations that production would exceed local needs. The report also notes potential risks to production amid El Niño-related weather considerations affecting the monsoon.

Following India's prohibition, New York raw sugar futures rose over 2% and London white sugar futures rose about 3%. Reuters noted the move could boost global sugar prices and potentially allow rival exporters, including Thailand and Brazil, to increase shipments to Asian and African buyers.

The Commerce Ministry issued a notification converting the policy on sugar exports from 'restricted' to 'prohibited' with immediate effect until September 30, 2026, or further orders. Exports to the European Union and the United States under CXL and TRQ quotas are not affected. The notification also specifies three categories that are exempt from the prohibition: (1) consignments loaded onto ships for export; (2) shipments where a shipping Bill has been filed and the vessel has berthed, arrived, or anchored in an Indian port with a port-allocated rotation number; (3) consignments handed over to customs or a custodian and registered in their electronic system with verifiable date/time. If consignments fall under any of these categories before the notification, they will be relaxed under the new policy.