In addition, the Union Food Ministry has decided to remove the 50% export duty on molasses, Joshi stated in a letter dated November 7 to Karnataka Chief Minister Siddaramaiah. The export decision was part of a broader set of measures outlined by the central government aimed at supporting the interests of sugarcane farmers in India.

«For the current sugar season also, the central government has decided to allow export of 1,5 million tonnes of sugar and 50% export duty on molasses has been removed», — Joshi said.

This is lower than 2 million tonnes that the sugar industry had requested. In the 2024-25 season, India exported approximately 800,000 tonnes of sugar, compared to 1 million tonnes that had been initially allocated.

India’s sugar production for the 2025-26 sugar season is projected to rise sharply to 34,35 million tonnes, up around 16% from 29,61 million tonnes in 2024-25, according to the first advance estimates released by the Indian Sugar and Bio-Energy Manufacturers Association (ISMA) this week.

The assessment reflects improved cane acreage, favourable weather, and higher yields across major sugar-producing states nationwide.

The total sugarcane acreage for 2025-26 is estimated at 5,735 million hectares, slightly higher than 5,711 million hectares in the previous year, representing a marginal 0.4% increase.

The improvement is attributed to healthy monsoon performance, sufficient reservoir levels, and strong cane development programs in key regions.

ISMA noted that rainfall has been abundant across most sugar belts, and reservoir storage remains adequate to meet crop requirements. The imagery and field reports suggest a good to very good crop condition nationwide.