Major Relief for Sugar Mills: Central Government Temporarily Amends Stock Holding Rules

09-Jul-2026 07:10 PM

Providing relief to sugar mills, the Union Ministry of Consumer Affairs, Food and Public Distribution has temporarily suspended a key provision of the stock-holding limit guidelines (dated March 28, 2025) until further orders.

Under the previous rule, if a sugar mill dispatched less than 90% of its allocated quota in a given month, its release quota for the following month was restricted proportionately. The government has now suspended this specific provision (Point No. 2(iii)) with immediate effect.

However, the government has clarified that if a mill releases less than 90% of its quota in a month, the release quota for the relevant month will be determined based on the utilization during the 'Base Month'. All other provisions of the March 28, 2025 guidelines remain in force, and all sugar mills are required to strictly adhere to them.

This order has come into effect immediately and will remain operative until further orders.