IMPLEMENTATION LEVEL

National

AFFECTED FLOW

Outflow (subsidised)

ANNOUNCED AS TEMPORARY

No

NON-TRADE-RELATED RATIONALE

No

ELIGIBLE FIRMS

all

JUMBO

No

TARIFF PEAK

No
← back to the state act
Inception date: 01 Oct 2014 | Removal date: 01 Oct 2015
Still in force

Export subsidy

On 19 February 2015, the Indian Ministry of Consumer Affairs, Food and Public Distribution through Gazette Notification GSR 127(E) extended the incentive on raw sugar exports into the 2014-15 season starting 1st October 2014 until 30 September 2015, and increased the rate of incentive on raw sugar exports from INR 3371 (USD 55) per ton to INR 4,000 (USD 64.30) per ton. The subsidy will be applicable for total exports up to 1.4 million tons.
 
Further, the notification provides that the above incentive will be available to sugar mills producers that also have ethanol production capacity only if they offer to supply ethanol to domestic oil marketing companies at a quantity equal to their ethanol production capacity or up to 25% of their annual alcohol production, whichever is less.

This incentive received by the sugar factory must be utilized for paying farmers dues within 3 months of receipt.

AFFECTED COUNTRIES

MAP
TABLE
EXPORT

AFFECTED SECTORS AND PRODUCTS

235 Sugar & molasses
1701 Cane or beet sugar and chemically pure sucrose, in solid form.
170112 Beet sugar
170113 Cane sugar specified in Subheading Note 2 to this Chapter
170114 Other cane sugar
170199 Other

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