DGFT: Duty-free raw sugar import deadline now 31 December 2026

The Centre has extended the deadline for duty-free imports of 10 lakh metric tonnes of raw sugar from 31 October 2026 to 31 December 2026, according to the Directorate General of Foreign Trade (DGFT). Its notification, dated 19 October 2026 and published in the Gazette of India on 22 October 2026, changes the import deadline without increasing the quota.

The extension applies to raw sugar classified under Exim Code 170114 in India’s import policy schedule. DGFT’s Notification No. 45/2026-27 retains the existing duty-free quantity and says all other conditions specified in the earlier notification dated 20 August 2026 remain unchanged.

For importers using this quota, the change provides two additional months to bring in raw sugar under the existing arrangement. It is not an announcement of a fresh allocation of 10 lakh metric tonnes on top of the quantity previously permitted.

More time, not a larger quota

The October notification sets out the previous and revised policy conditions side by side. Both describe the import policy as “Free”, subject to a Tariff Rate Quota (TRQ) of 10 lakh metric tonnes, with duty-free treatment and specified conditions. The deadline is the only change in that comparison.

A tariff rate quota allows a specified quantity of a product to enter at a preferential rate of import duty, as CNBC-TV18 explained in its report on the extension. For this raw sugar arrangement, the preferential treatment specified by DGFT is duty-free import within the stated quota.

The word “Free” in the policy table therefore needs to be read alongside the quantity limit and the conditions. The notification does not describe an unlimited duty-free import window. Nor does it announce an extension for every category of sugar: the amendment expressly covers raw sugar under the specified classification.

The Exim code identifies the product covered by the policy change. DGFT places it in Chapter 17 of Schedule-1, the import policy schedule of ITC (HS), 2022, India’s product-classification framework for trade policy. That scope matters because the notification changes the condition attached to this entry, rather than issuing a general waiver for sugar imports.

The August arrangement also covered earlier imports

The August DGFT notification established the duty-free TRQ arrangement and separately offered a one-time conversion option for certain existing Advance Authorisations. These are authorisations under a different trade scheme; the August measure allowed eligible quantities to move from that scheme to the TRQ scheme, subject to conditions.

Specifically, DGFT made the conversion option available for Advance Authorisations already issued under SION E52. The option covered the quantity of raw sugar actually imported under those authorisations up to the date of the August notification.

The document said this conversion was in addition to the 10 lakh metric tonne TRQ. It also covered refined sugar already produced, as well as refined sugar yet to be produced from the imported raw sugar available under the authorisations.

That distinction separates two parts of the policy: the quota for duty-free raw sugar imports and the conversion of eligible quantities already imported under existing authorisations. The October notification extends the import timeline under the TRQ; it does not announce a new conversion option or expand the category of authorisations eligible for conversion.

A separate domestic-sale condition remains

The August notification attached specific conditions to conversion. These included payment of the exempted Goods and Services Tax (GST) availed at the time of import and a requirement that refined sugar manufactured from the imported raw sugar be sold in the domestic market by 31 October 2026. It also made conversion subject to other conditions that might be prescribed.

The October amendment does not expressly replace that domestic-sale date. Its operative provision extends the timeline for importing raw sugar under the TRQ and states that all other conditions in the August notification remain unchanged.

The two deadlines concern different activities: bringing raw sugar into the country under the quota, and selling refined sugar domestically under the conversion arrangement. The extension should therefore not be described as a blanket postponement of every deadline associated with the August policy.

What the notification establishes

DGFT issued the October amendment under Sections 3 and 5 of the Foreign Trade (Development and Regulation) Act, 1992, read with paragraphs 1.02 and 2.01 of the Foreign Trade Policy, 2023. These are the provisions cited as the government’s authority to amend the import policy condition. The notification is signed by Director General of Foreign Trade Lav Agarwal and records the Commerce and Industry Minister’s approval.

The notification establishes the additional import time but does not report how much of the quota has already been used or how much remains available. It also gives no estimate of the extension’s effect on domestic sugar supplies or prices. The permitted quantity is a policy ceiling, not a figure for imports completed.