The Central Government has imposed stock limits on sugar mills in an attempt to keep prices under control during the upcoming festive season.
Sugar mills in the country will not be allowed to hold more than 21 per cent of the total output (2016-17) in stocks during September and this needs to be brought down to 8 per cent by the end of October, Food and Consumer Affairs Minister Ram Vilas Paswan said on Twitter.
This step is aimed at preventing mills from artificially withholding sugar in storage in order to push up prices during the high demand festive season of September and October.
Sugar production in India in 2016-17 marketing year ending on September 30 fell below consumption level, creating concerns of a shortage for the upcoming festive season.
