The Center has clarified that the monthly stock holding limit does not apply to Khandsari sugar units and no restrictions have been imposed on the sale of Khandsari sugar. The government has asked Khandsari units with capacity of 500 TCD and above to register on the NSWS portal under the Sugar (Control) Order, 2025.
The government has clarified that Monthly Stock Holding Limit (Quota System) does not apply to Khandsari Sugar Factory At present no restriction has been imposed on the sale of Khandsari sugar. All Khandsari units are free to sell Khandsari sugar in the open market as before.
In a message to Khandsari units, Department of Food and Public Distribution (DFPD) “All Khandsari units are free to sell Khandsari sugar in the open market as before. This decision has been taken to balance the operational feasibility of Khandsari units,” it said.
The department further informed that the Khandsari units which have crushing capacity 500 tcd And now come within the scope of above Sugar (Control) Order, 2025All such units have been asked to register themselves on the NSWS portal to help trace the actual production and consumption pattern of Khandsari sugar across the country.
The clarification comes amid confusion in the market following the inclusion of Khandsari units under the Sugar (Control) Order, 2025. It is now clear that the monthly release order mechanism is applicable only to sugar mills producing refined sugar and Khandsari units are free to sell sugar without monthly quota restrictions,
This clarification is expected to ease concerns among traders and small traditional Khandsari units, especially in Uttar Pradesh, where most of such units operate. But now all Khandsari units with capacity of 500 TCD and above will have to register themselves on the NSWS portal.
