India has approved the 2022/23 export of 6 million tons of sugar, in line with market expectations for the year's first tranche, Report informs referring to Reuters.
India exported an all-time high of more than 11 million tonnes of sugar in 2021/22 and the industry was expecting New Delhi this year to allow exports of 8 to 9 million tons in two tranches.
India is the world's biggest producer of sugar and the second biggest exporter.
New Delhi has allocated 6 million tons of sugar to mills based on their production in the past three years, the government said in a notification.
Industry officials were expecting the government to allow 5 to 6 million tons of sugar in a first tranche and another 2 to 3 million tons in a second tranche based on sugar production.
Mills need to export the allocated quota either themselves or through merchant exporters or refineries before May 31, 2023, the notification said.
Anticipating permission to export 5 to 6 million tons of sugar this season, traders have already started signing export deals.