Industry

India notifies 8,424 tonnes of raw sugar exports to U.S. under tariff-rate quota

India, the world's second biggest producer and the largest consumer of sugar, has a preferential quota arrangement for sugar export with the European Union as well. Representational Image.   | Photo Credit: Reuters

The government on Friday permitted export of 8,424 tonnes of raw or white sugar under tariff-rate quota (TRQ) to the U.S., which enables shipments to enjoy relatively low tariff.

TRQ is a quota for a volume of exports that enter the U.S. at relatively low tariffs. After the quota is reached, a higher tariff applies on additional imports.

"The quantity of 8,424 tonnes of sugar (raw and/or white sugar) to be exported to the US under TRQ scheme from October 1 to September 30, 2022, has been notified," the Directorate General of Foreign Trade (DGFT) said in a public notice.

India enjoys duty-free sugar exports to the U.S. for up to 10,000 tonnes annually under the preferential quota arrangement.

India, the world's second biggest producer and the largest consumer of sugar, has a preferential quota arrangement for sugar export with the European Union as well.

The country's sugar export rose 20% to an all-time high of 7.1 million tonnes in the 2020-21 marketing year ended last month, on the back of better demand and financial assistance from the government.

Sugar exports stood at 5.9 million tonnes in the marketing year 2019-20.

According to ISMA, the sugar production is estimated to remain flat at 31 million tonnes in the marketing year 2021-22.

The total availability of sugar is estimated to touch 39.5 million tonnes, including an opening stock of 8.5 million tonnes of sweetener.


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Printable version | Dec 8, 2021 3:58:06 PM | https://www.thehindu.com/business/Industry/india-notifies-8424-tonnes-of-raw-sugar-exports-to-us-under-tariff-rate-quota/article37006040.ece

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