Sugar industry rejects profiteering claims, says mills sold less than 2.5% of annual demand at August peak

Rejecting claims of profiteering, the sugar industry said that mills across India sold just over 7 lakh metric tonnes (LMT) of sugar at elevated prices during a brief period in August, accounting for less than 2.5% of the country’s annual domestic consumption. Retail sugar prices have since fallen 11-12% to around Rs 57.5 per kg, they said, pushing back against claims that mills benefited disproportionately from the brief price surge.

According to a joint statement by the Indian Sugar & Bio-energy Manufacturers Association (ISMA) and the National Federation of Cooperative Sugar Factories (NFCSF), the sugar mills sold the 7.22 LMT between August 17 and August 31, 2026, at an average ex-mill price of Rs 4,996.98 per quintal. With India’s annual domestic sugar consumption estimated at around 285 LMT, the volume sold during the period represented less than 2.5% of annual consumption, they added.