Ahead of festive season, sugar prices remain above ₹60/kg across India despite govt measures — Check city-wise cost

Sugar prices in India have remained steadily over ₹60 per kg in most retail markets today, on 30 August, PTI reported.

The stability in high prices comes despite several measures from the central government to tackle rise in cost of the commodity ahead of the festive season demand, official data showed, it added.

Notably, the current price for the week of 30 August, is 30% higher than a month ago and 38.63% higher than the same period last year.

Retail sugar prices in India: City-wise cost per kg

According to data from the Consumer Affairs Ministry, the all-India average retail price of sugar was ₹64.24 per kg on Sunday, up 1.77% from ₹63.12 per kg a week earlier.

Further, the maximum retail price recorded was ₹74 per kg, while the minimum was ₹40 per kg, as on August 30. City-wise, retail sugar was selling at:

• ₹62 per kg in Delhi,
• ₹66 per kg in Mumbai,
• ₹63 per kg in Chennai, and
• ₹68 per kg in Ranchi.

Wholesale sugar prices in India

Further, the report noted that the wholesale prices also stayed firm at ₹59.73 per kg, up 31% month-on-month and 38.63% year-on-year.

A week back, the price of wholesale sugar was ₹58.66 per kg.

Sugar prices recently hit a record high in India, which is the world’s second-largest producer of the commodity and officials feel the need to make moves to boost local supplies ahead of the festive season, which typically sees large demand for sugar and subsequent rise in price for the commodity annually, Bloomberg reported last week.

Consumption in India typically peaks from late August through January as demand rises for traditional sweets, processed foods and beverages during the festival season, it added.

Govt tries measures to tackle rising sugar prices

The elevated retail and wholesale prices come even as ex-mill rates have declined nearly 20% following the government's decision to allow duty-free imports of 10 lakh tonnes of raw sugar, the PTI report said.

It cited industry sources noting a ₹2-3 per kg gap between ex-mill and wholesale prices, and a ₹7-8 per kg gap between ex-mill and retail prices, is typical.

Apart from opening up imports, the government has tightened stockholding norms for bulk users and dealers and had earlier banned sugar exports.

The Centre has blamed mills for “jacking up” prices, insisting the country holds ample sugar stocks. This is despite production for the 2025-26 marketing year (October-September) being pegged lower at 306 lakh tonnes, down from earlier estimates of 343 lakh tonnes.

Annual domestic demand is estimated at around 280-285 lakh tonnes.

Sugar supply strain: What happened?

The Bloomberg report also said that there is a global supply strain in the sugar market and concerns are increasing that the El Niño weather phenomenon will impact harvests. Recently, similar speculation pushed New York futures to the highest in about a year.

The same worries are reflected in India, where monsoon rains are 13% below normal levels, according to the India Meteorological Department (IMD). It added that sugarcane crops — used to produce majority of India's sugar — are dependent on the rainfall.

The deficit stood at more than 40% near the end of June 2026 (start of the annual rainy season) and has delayed sowing of some crops, it added.

(With inputs from PTI)