MoCAFPD notified regarding July 2026 Sugar Release Quota and Stockholding Limits for Sugar Mills

Jul 01, 2026 | by TeamLease RegTech Legal Research Team

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Commercial ComplianceThe Ministry of Consumer Affairs, Food and Public Distribution (MoCAFPD) on June 30, 2026, issued the notification regarding July 2026 Sugar Release Quota and Stockholding Limits for Sugar Mills.

The following has been stated namely: -

• The Government has fixed the maximum quantity of white/refined sugar that each sugar mill can sell and dispatch in the domestic market during July 2026. 

• Sugar producers must maintain stocks until July 31, 2026, or until further orders, as per the prescribed stockholding formula. 

• The nationwide release quota for domestic sale and dispatch in July 2026 has been fixed at 2.2 million metric tonnes (22 lakh MT). 

• Individual release quotas have been allocated to 585 sugar mills across various states based on their notional stock position. 

• Sugar mills violating the monthly stockholding limits will face deductions in future release quotas under the revised enforcement mechanism effective from April 01, 2025. 

• Excess sugar sold or under-utilization of quota during April 2026 has been adjusted by reducing the July 2026 release quota of the concerned mills. 

• All remaining sugar mills must integrate their ERP/SAP systems with the NSWS portal through APIs and submit the June 2026 P-II return by July 10, 2026

• Mills failing to complete API integration or submit the required data may not receive release quotas from the following month. 

• Sugar mills must ensure 20% of sugar is packed in jute bags as mandated under the Jute Packaging Materials (Compulsory Use in Packing Commodities) Act, 1987, and report compliance on the NSWS portal. 

• Any violation of this order will attract action under the Essential Commodities Act, 1955, as amended from time to time. 

[Notification No. 5-4/2025-SC/July-SC]


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