New Delhi, Aug 26: India is not facing a sugar shortage as adequate stocks are available to meet domestic demand until the new crushing season begins in October, the government said on Wednesday.

It clarified that the share of sugar diverted for ethanol production has declined from around 12 per cent in 2022-23 to around 9 per cent in 2025-26. Moreover, nearly three-fourths of the ethanol produced in the country now comes from grains, particularly maize, it said, refuting claims that the diversion of sugar for producing ethanol was leading to the price rise of the sweetener.

Simultaneously, retail sugar prices for consumers have also remained broadly stable, increasing by only around 3 per cent annually between August 2024 and July 2026, according to the government factsheet.

Sugar prices have increased in recent weeks, from Rs 48.18 per kg on July 20 to Rs 55.70 per kg on August 20. This reflects an increase of around 15.6 per cent within one month. This suggests the current uptick largely reflects short-term supply and market factors, rather than a shift in the underlying price trend, the factsheet states.

The present increase in sugar prices is due to a combination of factors, including lower-than-expected domestic production, increased demand ahead of the festive season, and weather-related damage to the sugarcane crop. Besides, tightening global sugar supplies and rising prices, as well as speculation and hoarding by some sections of the industry, are other factors behind the price rise, the statement said.

Sugar production during the current season is expected to be around 306 LMT, compared to the initial estimate of around 343 LMT. Production has been affected by two factors: Red Rot and Top Borer disease, and waterlogging caused by excess rainfall. However, despite the lower-than-estimated production, adequate sugar stocks are available in the country to meet domestic demand. The new crushing season will begin in October.

The tightening of sugar supplies is a global phenomenon and is not limited just to India. The global sugar deficit for 2026-27 is estimated at around 33 lakh MT. As a result, international sugar prices have risen sharply from $474/tonnes on June 30, 2026 to $552/tonnes on August 20, 2026. This marks an increase of over 16 per cent in less than two months, the factsheet points out.

It also states that the ethanol programme has helped sugarcane farmers and strengthened sugar mills. On average, India produces around 300-340 lakh MT of sugar annually and its domestic sugar consumption is around 280-290 lakh MT each year.

In years of surplus production, excess stocks block the funds of sugar mills and delay payments to sugarcane farmers. Diversion of excess sugar towards ethanol has helped address this structural problem and improved the financial health of sugar mills. The area under sugarcane cultivation has also increased from 49.27 lakh hectares in 2015-16 to 58.87 lakh hectares in 2025-26.

As of August 20, 2026, 97 per cent of sugarcane dues for the 2025-26 sugar season have already been paid to farmers. The improved financial position of sugar mills has reduced their dependence on government support, the statement added.

Tokyo, Aug 26: Union Commerce and Industry Minister Piyush Goyal on Wednesday said that he highlighted India’s growing investment and business opportunities across trade, mobility, industrial, banking and insurance sectors during discussions with top Japanese business and financial leaders.

On the third day of his Japan visit, Goyal met senior executives from Toyota Tsusho Corporation, Sumitomo Mitsui Banking Corporation (SMBC) Group, Mitsubishi UFJ Financial Group (MUFG) and Nippon Life Insurance, according to posts by the minister on X.

In his meeting with Toshimitsu Imai, President and CEO of Toyota Tsusho Corporation, Goyal discussed opportunities for the company to deepen its engagement in India across trade, mobility and industrial sectors.

The discussions focused on leveraging India’s cost competitiveness and strengthening the country’s role as a global export hub, particularly for emerging markets, Goyal said.

In addition, the minister met with Yoshihiro Hyakutome, Deputy President Executive Officer at SMBC Group and discussed opportunities to deepen India-Japan financial ties, including greater investment and cooperation in the banking sector.

Goyal also discussed with Yasushi Itagaki, Deputy Chairman of MUFG, along with other senior officials, strengthening India-Japan cooperation in banking, commercial finance and investment.

“India’s dynamic financial sector continues to offer significant scope for deeper partnerships with Japan’s leading financial institutions,” the minister said on X.

Additionally, in his meeting with Minoru Kimura, Managing Executive Officer and Head of Global Business at Nippon Life Insurance, the minister discussed opportunities for greater India-Japan cooperation in insurance and financial services.

Goyal said India’s expanding insurance market presents significant potential for greater collaboration.

The discussions with the Japanese companies come as India seeks to deepen economic and investment ties with Japan and attract greater participation from the firms and financial institutions across key sectors for Indian economy.

Mumbai, Aug 26: Indian equity benchmarks opened higher on Wednesday amid a sharp decline in oil prices with Brent crude decreasing by more than 2 per cent.

Sensex opened 236.01 points or 0.30 per cent higher at 77,892.10, while Nifty started the session increasing 7.40 points or 0.03 per cent at 24,341.95.

In early trade, sectoral performance was mixed with PSU banking shares leading gains. Nifty PSU Bank rose 1.4 per cent, followed by Nifty Realty, up 0.66 per cent and Nifty MidSmall Financial Services which gained 0.48 per cent. Meanwhile, Nifty Private Bank also rose 0.46 per cent.

On the other hand, Nifty Metal fell 0.51 per cent which was top laggard. Nifty Auto declined, Nifty Healthcare Index, Nifty FMCG and Nifty Consumer Durables slipped up to 0.26 per cent.

Market sentiment was supported by easing crude oil prices amid reports of another ceasefire between the US and Iran and efforts to resume shipping through the Strait of Hormuz.

In addition, Brent crude was trading around $86 per barrel, a decline of more than 2 per cent. However, a decline in US bond yields, with the 10-year Treasury yield at 4.64 per cent, also offered some support to global equities.

Analysts said these factors may not be sufficient to trigger a sharp rally in Nifty as several heavyweight stocks remain technically weak.

The broader market is expected to provide leadership, supported by fundamentals and momentum, though stretched valuations remain a concern, according to them.

The experts noted that the rise seen in the previous session is expected to mature around the 24,400 level with the Nifty potentially extending gains towards 24,550 or 24,820. On the downside, 24,220 is seen as a key marker.

Additionally, Asian markets were trading mixed despite a decline in crude oil prices. Sentiment remained cautious after US index futures edged lower with investors awaiting Nvidia’s earnings announcement.

International benchmark Brent crude declined 2.81 per cent to around $86 per barrel, while US West Texas Intermediate (WTI) crude was seen at nearly $80.10 per barrel.