In the month of August, a quota of 22 lakh tonnes was issued to sugar mills

Mumbai: A quota of 22 lakh tonnes of sugar has been issued for sugar mills in the month of August. Mills will be able to dispose of the remaining stock of July by 15 August. The government had issued a quota of 24 lakh tonnes of sugar to sugar mills for the month of July. In comparison to August last year, less quota has been declared in this month of the current year.

Market sources said for August last year, the initial quota was 23.50 lakh tonnes and later another two lakh tonnes were added, taking the total quota to 25.50 lakh tonnes.

To control the prices of sugar, the central government announces sugar quota per mill every month. Mills can sell sugar as per the allotted quota. Due to regulation on sugar export from the country, domestic mills have accumulated sugar stock, in view of this, it is believed that permission has been given to carry forward the July stock.

Market circles are also saying that keeping in mind the accumulated stock, less quota has been issued in August as compared to July. Usually the government releases more quota in August keeping in mind the festivals of Shravan month.