Government withdraws order to disclose sugar stock

08-Nov-2024 02:22 PM

New Delhi. The Central Government has withdrawn the Stock Disclosure Order imposed on sugar traders in December 2023, saying that in view of the adequate supply and availability of sugar in the domestic sector, there is no need to keep it in force now. In a letter sent to all the provincial governments, the Union Food Ministry has said that it has been found that there is adequate stock of sugar available in the country to meet the domestic demand and requirement for the entire year. After a thorough review of the supply, availability and prices of sugar at the national level, the government has come to the conclusion that it is now necessary to continue the stock disclosure order.

According to the Food Ministry, under this order, sugar traders / dealers, wholesalers, large chain retailers and processors had to give information about their stock to everyone on a weekly basis, but now it will not be required because this order has been withdrawn with immediate effect.

Along with this, the Ministry has informed the states that the price, production and stock (availability) of sugar in the country will be reviewed at regular intervals. It is noteworthy that in September 2024, the All India Sugar Trade Association (AISTA) had sent a letter to the Union Food Ministry requesting immediate abolition of the sugar stock disclosure order, but in view of the long series of festivals in October, the government did not accept it at that time. The festival season is now over and the season of crushing sugarcane and production of sugar has begun, so the government has accepted that demand of the association and withdrawn its order. For a long time, the domestic market price of sugar has also remained almost stable with slight fluctuations within a certain limit. Even during the festive season, there was no sharp jump in the prices of sugar. Apex industry body ISMA in its first advance estimate has projected production of 29.3 million tonnes of sugar (after conversion to ethanol) during 2024-25 season, which is 3 million tonnes more than the total likely domestic consumption of 29.3 million tonnes.