The government has allocated more sugar at 49.64 lakh tonnes (lt) for sale through ration shops and open market during the July-September quarter compared to 48.82 lakh tonnes, in the previous quarter, due to the surplus domestic production in the 2011-12 marketing year and stability in retail prices of the sweetener.
Out of the allocated 49.64 lt sugar, mills are allowed to sell only 45 lt in the open market and the rest 4.64 lt through ration shops i.e. they should sell not less than 25 percent of the quarterly quota in each month of the quarter. An increased estimation of sugar production to 26 million tonnes (mt) in the year 2011- 12, will prompt the government to allow 3 million tonnes of exports.