Published :
Updated :
For all latest news, follow The Financial Express Google News channel.
As India allowed its mills to export sugar after two years, the Bangladesh High Commission in New Delhi has recommended the authorities concerned to consider importing the sweetener from the neighbouring country.
The commission communicated the development recently with the Ministry of Foreign Affairs which was forwarded to the Ministry of Commerce and suggested taking necessary measures in this regard.
On January 20 last, the department of Food and Public Distribution under the commerce, food and public distribution of India issued guidelines, allocating mill-wise sugar export quotas for the 2024-25 season.
According to the notification, each sugar mill has been allocated a uniform export quota of 3.17 per cent of its average production over the past three years. The total approved export volume is 1.0 million tonnes with shipments expected to be completed by September 2025.
The commission said that the ministry of commerce and relevant authorities of Bangladesh may start formal procedures and approach the interested and verified Indian export agencies to import sugar from India.
India had allowed exporting only 6.0 tonnes of sugar in the 2022-23 marketing season. Since then it did not allocate any quota for sugar export.
There are currently five operational refined sugar mills in Bangladesh with a combined annual production capacity of around 3.0 million tonnes.
But, there is a shortage of sugar in the local market ahead of the upcoming holy fasting month of Ramadan.
There are 15 sugar mills under the Bangladesh Sugar and Food Industries Corporation (BSFIC) with an annual production capacity of 0.2 million tonnes.
In the last four years, the nine operational BSFIC mills produced between 22,000 and 30,000 metric tonnes annually. Currently, over 98 per cent of sugar demand is met by private sugar mills, while state-owned mills contribute only 1-2 per cent. Domestic sugar prices remain relatively high. According to the Trading Corporation of Bangladesh (TCB), sugar is currently selling at Tk 120-125 per kg.
rezamumu@gmai.com