In India, the discussion regarding the reasons for the rise in sugar prices has intensified.

According to data from the Ministry of Consumer Affairs, Food and Public Distribution, the average retail price of sugar in India increased from 48.18 to 55.70 rupees per kilogram between July 20 and August 20. Minister Pralhad Joshi stated that the government is concerned about the decline in sugar production, attributing it to the spread of red rot disease and adverse weather conditions caused by the El Niño phenomenon. According to the agency, these factors have negatively impacted agricultural performance both in India and globally.

To stabilize supply ahead of the festive season, the government is considering a number of measures, including the temporary import of raw sugar. According to the ministry's estimates, with an annual domestic demand of 280 lakh tonnes, current stocks exceed this volume by 20–25 lakh tonnes. Authorities also refuted the view that the price increase is linked to the diversion of cane for ethanol production. According to the ministry, the share of sugar used for these purposes decreased from 12% in the 2022–23 season to 9% in 2025–26, with the majority of ethanol now being produced from grain crops, particularly corn.

Opposition politicians, in turn, have expressed doubts about the effectiveness of the government's approach. Member of Parliament Randeep Singh Surjewala stated that delays in payments to farmers are hindering the development of sugarcane production. For their part, MPs Manish Tewari and Sanjay Raut criticized the practice of using cane for fuel production, calling for an investigation into the impact of this strategy on the availability of raw materials and the cost of essential commodities.

At the regional level, authorities in the state of Uttar Pradesh, particularly in the Varanasi district, reported sufficient sugar stocks and no shortage. The local administration has tightened price controls and mandated that traders regularly report their product inventories on the government portal.