August Sugar Quota Set at 22.50 Lakh Tonnes

29-Jul-2025 11:36 AM

New Delhi. The Union Food Ministry has fixed a quota of 22.50 lakh tonne sugar for domestic sale for August 2025, which is 50 thousand tonne more than the quota of 22-22 lakh tonne fixed for July 2025 and August 2024. Earlier, a record free sale quota of 27.50 lakh tonne sugar was declared in August 2023. The quota for August can be considered normal.

Calculations show that in the first 8 months of the current calendar year, i.e., for January-August 2025, a total of 182.50 lakh tonnes of sugar has been declared by the Food Ministry for domestic sale, which is 9.50 lakh tonnes less than the quota of 192 lakh tonnes allotted for the same period of the year 2024 and 3.50 lakh tonnes less than the quota of 186 lakh tonnes allotted for January-August 2023.

The government had fixed a free sale quota of 25.50 lakh tonnes for October 2024 and 22-22 lakh tonnes for November and December 2024, i.e. a total of 69.50 lakh tonnes of sugar for the quarter of October-December 2024, while a quota of 182.50 lakh tonnes was fixed for January-August 2025.

In this way, a total free sale quota of 252 lakh tonnes of sugar has been declared for the first 11 months (October 2024-August 2025) of the marketing season 2024-25 (October-September).

If a quota of 23 lakh tonnes is assumed for September, then the total figure for the entire period of the current marketing season reaches only 275 lakh tonnes.

The festive season formally begins from the month of August, due to which there is an expectation of an increase in domestic demand and consumption of sugar.

But it is important to keep two things in mind. There is heavy monsoon rain in the month of August and the temperature also comes down, which may affect the industrial demand for sugar.

Apart from this, it will be necessary to see whether there is any unsold stock of sugar left from the July quota and if the stock remains, then what kind of decision does the government take for its sale. Generally speaking, sugar prices can be expected to remain strong or stable in August with limited fluctuations within a certain range.