India Allows 8,606 Tonne Sugar Export To US Under Tariff Rate Quota

India has allocated 8,606 metric tonne of sugar to be exported to the United States under the tariff rate quota (TRQ) scheme, according to a notification from the Directorate General of Foreign Trade (DGFT). The allocated sugar export under the TRQ scheme is for the US fiscal year 2025.

The export of sugar (HS code 17010000) to the US and the European Union under TRQ is currently free, subject to certain contains.

“Certificate of origin, if required, for the preferential exports of sugar to the USA shall be issued by the Additional General of Foreign Trade, Mumbai on the recommendation of the Agriculture and Processed Food Products Export Development Authority (APEDA) regarding entity and quantity for which eligible,” said the DGFT notification.

"Effect of this public notice: The quantity of 8,606 metric tonne raw value (MTRV) of raw cane sugar to be exported to the USA under the TRQ scheme from 1 October 2024 to 30 September 2025 has been notified,” the notification added.

A tariff rate quota essentially is a quota for exports at relatively low duties. Once the limit is exhausted, a higher tariff applies to additional shipments. India had extended the restrictions on the exports of sugar until further orders, in October last year. Initially, the restrictions were imposed starting 1 June to 31 October 2022 and later extended by a year till 31 October 2023.

The restriction is, however, not applicable to sugar being exported to the EU and the US under the concession (CXL) and TRQ quota. The idea behind the sugar export restriction initially was to make prices of sugar stable domestically. (ANI)