Speculation is growing about India possibly banning sugar exports for the first time in seven years. The Indian Sugar Mills Association (ISMA) denied an immediate ban but said a decision might be made soon.
Reports suggest that India is a major global sugar producer and any export halt could affect prices in trading hubs like New York and London, which are already high. But this is unlikely to have any impact on the Indian community.
Recently the rice export ban in the US caused a lot of panic in the Indian community residing in the US. But soon things got normal as sufficient amounts were already in stock and there was no problem in rice supply in the US. The grocery stores encashed this panic in a huge way and sold rice at exorbitant rates during this short period of three weeks.
While some speculate that the sugar export ban rumors could be another attempt to exploit panic, it might not have the same impact, especially since Indians in countries like the US often don’t use Indian-brand sugar.
Though the ban could elevate food prices, its effect on Indians in the US is projected to be less significant compared to the rice ban.
