Sugar Exports Under Pressure: Tight Stocks, Ethanol Diversion & Weather Risks Cloud

India’s sugar export outlook is facing fresh pressure as tight opening stocks, ethanol diversion and weather risks threaten export availability. Sugar production for 2026-27 is forecast to rise, but historically low beginning stocks could limit the surplus available for overseas shipments. Around 3 million tonnes of sugar have reportedly been diverted towards ethanol, while exports have remained limited. Chetan Butani, Business Today, brings the latest developments on government policy and the possibility of tighter export controls. With the festive season approaching, domestic supply remains a key priority, while El Niño conditions and below-average monsoon rainfall add further risks to sugarcane production.