ISMA Appeals for Export Contract Execution Amidst Sugar Shipment Ban

The Indian Sugar & Bio-energy Manufacturers Association (ISMA) has appealed to the Indian government to permit the execution of previously-concluded sugar export contracts. This plea follows the government's decision to ban overseas sugar shipments from May 13 to September 30, which has been seen as a measure to stabilize domestic markets.

ISMA, acknowledging the government's intentions, pointed out that the sudden restriction poses practical challenges for mills with binding commitments to international buyers. Director General Deepak Ballani emphasized that executing these contracts could sustain trade credibility and ensure orderly settlements in global markets.

The sugar export ban, according to rating agency ICRA, aims to prevent sharp domestic price increases and ensure supply amid tight inventories. With expectations of further complications from El Nino in the 2026-27 season, ISMA continues to assess the long-term implications of these export restrictions.

(With inputs from agencies.)