The Directorate General of Foreign Trade issued Notification No. 16/2026-27 dated May 13, 2026, amending the export policy of sugar under ITC (HS) Codes 1701 14 90 and 1701 99 90 from “Restricted” to “Prohibited” with immediate effect until September 30, 2026, or until further orders, whichever is earlier. The prohibition applies to exports of raw sugar, white sugar, and refined sugar and has been imposed under the Foreign Trade (Development & Regulation) Act, 1992 and the Foreign Trade Policy, 2023. However, certain categories remain exempt, including exports to the EU and USA under CXL and TRQ quotas, exports under the Advance Authorization Scheme, government-to-government exports for food security purposes, and consignments already in the export pipeline meeting specified conditions. The notification also clarifies that transitional arrangements under Para 1.05 of FTP 2023 will not apply. If the prohibition is not extended beyond September 30, 2026, the policy status will revert to “Restricted.”
Government of India
Ministry of Commerce & Industry
Department of Commerce
(Directorate General of Foreign Trade)
*****
Notification No. 16/2026-27-DGFT | Dated: 13th May, 2026
Subject: Amendment in Export Policy of Sugar – regarding.
S.O. (E): The Central Government, in exercise of powers conferred by Section 3 read with Section 5 of the Foreign Trade (Development & Regulation) Act, 1992 (No. 22 of 1992), as amended, read with Para 1.02 and 2.01 of the Foreign Trade Policy, 2023, hereby amends the export policy of Sugar under Chapter 17 of ITC (HS), Schedule — II as under:
| ITC (HS) Code |
Description | Existing Policy |
Revised Policy |
Policy Condition |
| 1701 14 90
1701 99 90 |
Sugar (Raw Sugar, White Sugar and Refined Sugar) | Restricted | Prohibited prohibited with September 30, 2026, | Export of Sugar is immediate effect till or till further orders, whichever is earlier |
2. This prohibition shall not apply to Sugar being exported to the EU and USA –under CXL and TRQ quota, as per the prescribed procedure in the respective Public Notices.
3. Export of Sugar under the Advance Authorization Scheme (AAS) shall continue to be governed as per existing provisions of the Foreign Trade Policy, 2023 and the Handbook of Procedures, 2023.
4. This Notification shall come into effect immediately. The provisions of Para 1.05 of the Foreign Trade Policy, 2023 regarding transitional arrangement shall not be applicable under this Notification. Notwithstanding the above prohibition, export of Sugar shall be permitted in respect of consignments fulfilling any one of the following conditions:—
i.where loading of sugar on the ship has commenced before the date of publication of this Notification in the Official Gazette;
ii. where the Shipping Bill has been filed and the vessel has berthed or arrived and anchored in an Indian port, with its rotation number allocated by the Port Authority, before the date of publication of this Notification in the Official Gazette. The approval for loading in such vessels shall be issued only after confirmation by the concerned Port Authority regarding berthing/anchoring prior to this Notification; or,
iii. where the sugar consignment has been handed over to Customs/Custodian before the date of publication of this Notification in the Official Gazette and is registered in their electronic system, with verifiable evidence of the date and time of such handing over.
5. The export of the above products/ items, however, shall be allowed on the basis of permission granted by the Government of India to other countries to meet their food security needs and based on the request of their governments.
6. In case the date of prohibition on sugar exports under this Notification is not extended beyond September 30, 2026, the export policy for sugar falling under ITC (HS) Code 1701 14 90 and 1701 99 90 shall revert back to “Restricted”.
Effect of this notification: The export policy of Sugar (Raw Sugar, White Sugar and Refined Sugar) under ITC (HS) Codes 1701 14 90 and 1701 99 90 is amended from ‘Restricted’ to ‘Prohibited’ with immediate effect till September 30, 2026, or until further orders, whichever is earlier. This prohibition is not applicable to Sugar being exported under: (i) EU and USA under CXL and TRQ quota, (ii) Advance Authorization Scheme (AAS), (iii) Government-to-Government exports, and, (iv) consignments already in physical export pipeline.
This is issued with the approval of the Minister of Commerce & Industry, Government of India.
(Lay Agarwal)
Director General of Foreign Trade &
Ex-Officio Additional Secretary to the Govt of India
E-mail: dgft@nic.in
(Issued from File No. 01/91/180/879/AM08/EC/Vol.81E-20749)/e-20749)
