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This is an archive article published on June 8, 2022

First export release order by Centre since curbs upsets sugar mills

On May 24, the Centre decided to restrict sugar exports to ensure ample availability at the start of the next season. Exports now require an NOC from the Ministry of Food and Consumer Affairs before it is shipped out of the country.

The first ERO was issued on June 5 and showed that till date, 335 mills had applied for exports of 17.45 lakh tonne, of which 8 lakh tonnes of exports have been allowed within 30 days of the order.The first ERO was issued on June 5 and showed that till date, 335 mills had applied for exports of 17.45 lakh tonne, of which 8 lakh tonnes of exports have been allowed within 30 days of the order.

The first Export Release Order (ERO) issued by the central government after sugar export was moved from open to restricted category has upset sugar mills, which say the order puts them at a disadvantage by granting better terms to exporters to complete orders.

On May 24, the Centre decided to restrict sugar exports to ensure ample availability at the start of the next season. Exports now require an NOC from the Ministry of Food and Consumer Affairs before it is shipped out of the country.

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The first ERO was issued on June 5 and showed that till date, 335 mills had applied for exports of 17.45 lakh tonne, of which 8 lakh tonnes of exports have been allowed within 30 days of the order. However, mills say that instead of the 30-day period, exporters have been allowed 90 days to fulfill their orders. “…it is unfair to expect mills to meet their orders in a month while exporters have been given 90 days,” said a miller from Karnataka.

Meanwhile, the National Federation of Cooperative Sugar Factories Limited has urged the government to reconsider its ERO. Jaiprakash Dandegoankar, president of the Federation, said the present capping is unfair to the Cooperative sector as they have received 47 per cent of the orders.

Partha Sarathi Biwas is an Assistant Editor with The Indian Express with 10+ years of experience in reporting on Agriculture, Commodities and Developmental issues. He has been with The Indian Express since 2011 and earlier worked with DNA. Partha's report about Farmers Producer Companies (FPC) as well long pieces on various agricultural issues have been cited by various academic publications including those published by the Government of India. He is often invited as a visiting faculty to various schools of journalism to talk about development journalism and rural reporting. In his spare time Partha trains for marathons and has participated in multiple marathons and half marathons. ... Read More


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