India on Wednesday banned the export of sugar with immediate effect till September 30, 2026, or until further orders, according to a notification issued by the Directorate General of Foreign Trade (DGFT) under the Ministry of Commerce and Industry.
The notification dated 13 May 2026 changes the export policy for sugar from ‘Restricted’ to ‘Prohibited’ under Chapter 17 of the ITC (HS) classification. The regulation applies to raw sugar, white sugar and refined sugar falling under ITC (HS) codes 1701 14 90 and 1701 99 90.
“The export policy of sugar (raw sugar, white sugar and refined sugar) under ITC (HS) codes 1701 14 90 and 1701 99 90 is changed from ‘Restricted’ to ‘Prohibited’ with immediate effect till 30 September 2026 or until further orders, whichever is earlier.
The move comes as the government seeks to cool domestic sugar prices and ensure adequate local availability, Reuters reported.
Exceptions allowed for shipments of EU, US quotas and sugar already in export
The government granted several exemptions to the export ban.
The ban will not apply to sugar exports to the European Union and the United States under the CXL and TRQ arrangements. Exports under the Advance Authorization Scheme (AAS) will also continue under the existing provisions of the Foreign Trade Policy 2023.
In addition, the government said exports may still be allowed based on permits granted by India to other countries to meet their food safety requirements and based on requests from foreign governments.
The notice also exempts shipments that are already in the export pipeline. These include shipments where the loading of sugar onto vessels began before the publication of the notice in the Official Gazette; cases where shipping bills have been issued and the vessels have already docked or docked at Indian ports with rotation numbers assigned by port authorities; and shipments already handed over to customs officers or custodians and registered in electronic systems with verifiable records.
The DGFT has clarified that the transitional provision under para 1.05 of the Foreign Trade Policy 2023 does not apply to this notification.
The government said that unless the ban is extended beyond September 30, the export policy for sugar under the relevant HS codes will automatically revert to ‘Restricted’.
India, one of the world’s largest sugar producers and exporters, has previously used export controls to manage domestic supplies and curb food inflation. The latest order is expected to tighten availability in the global market while favoring local consumption.
The notification was issued with the approval of the Commerce and Industry Minister and signed by DGFT Director General Lav Agarwal.
