The Government of India has undertaken a comprehensive review of the Sugar (Control) Order, 1966, leading to the formulation of the Sugar (Control) Order, 2025. This revision aims to simplify and streamline the regulatory framework governing the sugar sector in line with current industry dynamics and technological advancements.

The Objective of the Sugar (Control) Order, 2025 is a step toward building a more efficient, transparent, and accountable sugar ecosystem, fostering both domestic stability and global competitiveness.

Some Key Highlights of the Sugar (Control) Order, 2025 are:

• API integration of DFPD portal with sugar mills Enterprise Resource Planning (ERP)/ Systems, Applications, and Products (SAPAs):- Clause related to information sharing in the digital forms through Application Programing Interface or any other mode with Government Organization has been added. The integration of systems will enhance efficiency; provide real time data, reduce data leakages and redundancies. The process is already going on and more than 450 sugar mills are already integrated with the portal. Further, GSTN data related to sale of sugar by sugar mills is also integrated with the portal.
• Inclusion of clause related to regulation of price of sugar:- Currently various provisions related to regulation of price of sugar have been mentioned in the Sugar Price (Control) Order, 2018. Now clause related to Sugar Price (Control) has been incorporated in the sugar control order, hence there will be no separate Sugar Price (Control) Order.
• Inclusion of raw sugar: - We will meet international standards by adding raw sugar in control order. Raw sugar will be considered in the total stock of sugar across the country; therefore, the figures of actual stock will be available. Currently, raw sugar is being sold by the name of khandsari/Organic; therefore, the change shall put a stop to misleading names of this product.
• Inclusion of khandsari sugar and khandsari sugar factory:- A substantial amount of khandsari sugar is being produced by many such units; therefore, khandsari units having crushing capacity more than 500 TCD has been included in the Sugar Control Order, 2025. Inclusion will ensure payment of FRP to the farmers by Khandsari sugar factories & will help in the accurate estimation of sugar production. A total of 373 No. of khandsari units (with total capacity of about 95000 TCD) are working in the country. Out of which, 66 (with total capacity of about 55200 TCD) are more than 500 TCD.
• Inclusion of various by-products:- Different kinds of by-products namely cane bagasse, cane molasses, press mud cake or any other alternative product including ethanol (produced from cane molasses, sugarcane juice, sugar syrup, sugar) affecting sugar production from sugarcane included in the order. Government will be able to regulate the diversion of sugar to ensure sufficient availability of sugar for domestic consumption.
• Inclusion of various definitions:-Various definitions included in the order namely Sugar, Plantation White Sugar, Refined Sugar, Khandsari Sugar, Gur or Jaggery, Bura Sugar, Cube Sugar, Icing Sugar taken from Food Safety Standard Authority of India (FSSAI), which will ensure the uniformity in definition of various products.

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Abhishek Dayal/Nihi Sharma

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