In news- The government has placed restrictions on the export of sugar.
More information-
- According to the order, with effect from 1 June, 2022 until 31 October, 2022, or until further order, the export of the sugar will be allowed with specific permission of the Directorate of Sugar, Department of Food and Public Distribution.
- However, the government has decided to allow the export of sugar up to 100 LMT (lakh metric tonnes) to maintain the domestic availability and price stability during the sugar season 2021-22 (October-September).
- Hence there is not a complete ban on sugar and it can be exported, but traders have to secure permission for sale overseas.
- This is the first time in six years that India has capped sugar exports.
- Major sugar importing countries are Indonesia, Afghanistan, Sri Lanka, Bangladesh, UAE, Malaysia, and other African countries.
Reasons behind the curb
- The restrictions have been introduced to improve the availability of sugar in the domestic market and also check the rise in prices.
- A shortage of backup stocks can push prices in the domestic market.
- The restrictions are also another sign of rising food protectionism around the world, as major producers curb agricultural exports, adding to the supply shock triggered by Russia’s invasion of Ukraine
Note- India is the world’s second biggest producer of sugar after Brazil and Maharashtra is the top sugar producer in the country followed by Uttar Pradesh and Haryana.
India’s wheat ban-
- India recently declared a full-ban on wheat exports.
- The world’s second biggest producer of wheat banned private overseas sales of the grain after a scorching heat wave curtailed output and domestic prices hit a record high.
- The 5 biggest wheat exporters are Russia, United States of America, Australia, Canada and Ukraine.
- Many wheat importing countries, including members of the G7 nations, have asked India to reconsider its decision to ban overseas sales of wheat.
Source: Indian Express
