Government Releases 2.2 Million Tonnes Sugar Quota for July; Limited Upside Seen in Market Prices

The Government of India on Wednesday released a sugar sales quota of 2.2 million tonnes for the domestic market for July 2026, the same as the quota issued in July 2025. For June 2026, the government had allocated a slightly higher quota of 2.25 million tonnes. According to traders, sugar demand is expected to remain firm due to the summer season. However, with the government releasing an adequate quota of 2.2 million tonnes, domestic sugar prices may witness only a modest improvement, while the chances of a sharp one-sided rally remain limited. Meanwhile, the India Meteorological Department (IMD) has reported further progress of the southwest monsoon across parts of Gujarat, Madhya Pradesh, Maharashtra, Chhattisgarh, and Jharkhand as of June 24, 2026. Weather conditions are expected to support its advance into additional areas of Gujarat, Madhya Pradesh, Chhattisgarh, Jharkhand, Bihar, and Uttar Pradesh over the next two to three days. Market experts believe that sugar consumption may slow down once the monsoon becomes active across the country. India�s sugar consumption stood at approximately 2.3 million tonnes in June last year. In the wholesale market on Wednesday, sugar prices were quoted at ₹4,450 per quintal in Delhi, ₹4,460 in Kanpur, ₹4,280 in Mumbai, and ₹4,480 in Kolkata**. Retail sugar prices were ₹47 per kg in Delhi, Kanpur, and Kolkata, while Mumbai reported a retail price of ₹44 per kg. Disclaimer: BKC Aggregators delivers market intelligence, weather updates, and agricultural advisory services based on data analytics and market research. While every effort is made to ensure accuracy, all forecasts are indicative in nature. Users should exercise their own judgment and bear full responsibility for any investment, trading, or farming decisions and their outcomes.

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