September Free Sale Sugar Quota Likely at 23 Lakh Tonnes
26-Aug-2025 03:55 PM
New Delhi. Industry trade sector analysts believe that in September-2025, the Union Food Ministry may declare a quota of up to 22.50-23.00 lakh tonnes of sugar for sale in the domestic division, which may be equal to or slightly more than the quota fixed for the month of August.
Although there may be some increase in the demand for sugar due to the Navratri festival, but this demand may be limited to the first fortnight of September because traders-stockists will buy sugar and make its stock before the festival begins.
The government is likely to fix the free sale quota of sugar for the month of September by August 28-29. Sugar consumption is expected to be affected due to heavy monsoon rains and severe floods in many areas. Similarly, industrial demand may also remain weak due to the drop in temperature.
According to an industry analyst, the unsold quantity of sugar left from the August quota may be allowed to be sold in September.
Normal quota of sugar was issued for the month of August itself, but still some unsold stock is expected to remain due to low lifting.
Although good demand for sugar was seen in the first half of August, but in the second half the demand slowed down due to rain and floods.
For August 2025, the government fixed a free sale quota of 22.50 lakh tonnes of sugar, which is 2 percent more than the quota of 22-22 lakh tonnes announced for July 2025 and August 2024.
Although the quota for the month of August was earlier considered small in view of various festivals and its demand was also strong in the initial phase, but later it weakened.
Now in September, Pitra Paksha will start from 7th, which will continue till 21st and then the festival of Navratri will start from 22nd.
According to trade sources, during the first two weeks of August, the price of sugar had increased by Rs 90-100 per quintal, but later the demand could not be maintained at the high price.
At present, the domestic market price of sugar (actually mill delivery price) is ranging between Rs 3890 to Rs 4180 per quintal, which is considered profitable for the millers.