The Indian sugar sector is likely to remain in a tight-supply situation through FY27 and possibly beyond, with low inventories, weather risks and firm global prices expected to keep domestic sugar prices elevated, according to a research report by DAM Capital Advisors.
The brokerage estimates sugar inventory at the start of the 2026-27 season on October 1, 2026, at around 3 million tonnes. This would be enough for only about 35 days of consumption and the lowest opening stock in a decade.
