India caps dealer sugar storage at 2,000 quintals, 30-day limit
Business
To stop sugar prices from spiraling and prevent hoarding, the Indian government is cutting how much sugar dealers can store, from 4,000 to 2,000 quintals, starting September 15 through November.
Dealers also cannot hold onto sugar for more than 30 days at a time.
Inspections, releases cut ex-mill nearly 30%
The move comes as officials ramp up inspections and release more refined sugar into the market, which already helped ex-mill prices had actually dropped nearly 30%.
But retail prices are still high as shops clear out older, pricier stock.
Kolkata and nearby areas are off the hook for these new limits because they play a key role in supplying eastern and northeastern India.