Maharashtra urges Centre to raise sugar MSP to Rs 41/kg, ease export curbs | Mumbai News
2 min readMumbaiJul 3, 2026 06:46 PM IST
The Maharashtra government on Friday said it has urged the Centre to raise the minimum selling price (MSP) of sugar from Rs 31 per kg to Rs 41 per kg, lift restrictions on sugar exports and increase the procurement quota for sugar based ethanol.
Replying to a discussion in both Houses of the legislature, Cooperation Minister Babasaheb Patil said the state had conveyed the demands to the Centre, as decisions on sugar pricing, exports and ethanol procurement fall under its jurisdiction.
Patil said Chief Minister Devendra Fadnavis would soon raise the issue with Union Cooperation Minister Amit Shah.
The demands come amid growing concern among sugar mills over rising production costs and stagnant sugar prices. The National Sugar Federation has sought an increase in MSP, pointing out that it has remained unchanged since 2019 even as the Fair and Remunerative Price paid to sugarcane farmers has increased from Rs 2,750 per tonne in 2018-19 to Rs 3,550 per tonne in 2025-26.
The industry has also sought withdrawal of export restrictions, a subsidy of Rs 500 per tonne of sugar and a higher quota for sugar based ethanol. Mill owners say only 30 per cent of ethanol procurement currently comes from sugar, leaving much of the sector’s installed capacity underutilised.
Maharashtra was the country’s largest sugar producer in the 2025-26 crushing season, producing 99.2 lakh metric tonnes of sugar from 1,041.58 lakh metric tonnes of sugarcane.
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