Sugar prices stable after decontrol of sector: Govt

NEW DELHI: Sugar prices have remained stable after decontrol of the sector, Food Minister K V Thomas informed Rajya Sabha today.

In a written reply, he said: "Sugar prices have been stable after decontrolling since April, 2013."

The government had decontrolled the sugar industry in April, giving mills the freedom to sell in the open market. The obligation on them to supply the sweetener at subsidised rates to ration shops was also removed.

"The sugar production during 2012-13 sugar season is estimated to be about 24.8 million tonnes as against domestic consumption requirement of about 23 million tonnes," Thomas said.

The import duty on import of sugar has been kept at moderate level of 15 per cent, he added.

"The sugar prices are currently stable in the domestic market, Thomas said.

Sugar is currently available in the market at Rs 35-40 per kg in the national capital.

India is the world's second largest producer and biggest consumer of sugar.