Free Sale Quota of 23.50 Lakh Tonnes of Sugar Fixed for May

28-Apr-2025 07:21 PM

New Delhi, April 28, 2025 – The Directorate of Sugar and Vegetable Oil, under the Union Ministry of Food, Consumer Affairs, and Public Distribution, has fixed the free sale quota for sugar at 23.50 lakh tonnes for May 2025. This quota is the same as in April but 3.50 lakh tonnes lower than the 27 lakh tonnes quota issued for May 2024. In May 2023, the free sale quota stood at 24 lakh tonnes.

Typically, the demand for sugar spikes during May due to intense summer heat, driven by higher industrial consumption for products like cold drinks and ice cream.

Last year, amid the excitement of the Lok Sabha elections, the government had unexpectedly raised the May quota to 27 lakh tonnes to meet soaring demand.

In the first five months of 2025 (January–May), a total quota of 115 lakh tonnes has been allocated for domestic sales. This is 5.50 lakh tonnes less than the 120.50 lakh tonnes allocated during the same period in 2024 but 1 lakh tonne more than the 111 lakh tonnes for the corresponding period in 2023.

For 2025 so far, the monthly sugar quotas have been set between 22.50 and 26.50 lakh tonnes for January and February, 23 lakh tonnes for March, and 23.50 lakh tonnes for both April and May.

The free sale quota for May 2025 is considered manageable for sugar mills, and no significant difficulties are expected in selling the allocated stock. Even though Akshaya Tritiya falls at the end of April this year, consumption in May is expected to remain robust, particularly for industrial uses like cold drink and ice cream production. Other uses are also likely to see an uptick.

With the sugar production season now virtually concluded and the new season not starting until October, the government is expected to manage future monthly sales quotas cautiously, given the sharp decline in overall sugar production.