The government today allowed import of refined sugar at zero duty up to December 31 this year in the wake of sweetener prices nearing Rs 50 a kg in the retail market.
The Cabinet Committee on Prices (CCP) also decided to permit UP mills to process imported raw sugar outside the
state due to restrictions there.
Two-three million tonnes of wheat would be released in the open market in the next two months to check prices,
Agriculture Minister Sharad Pawar told reporters after the meeting.
Import of white sugar was allowed till March 31 this year earlier.
Expecting states to play more active role in containing rising food prices, Prime Minister Manmohan Singh will review
the situation with the Chief Ministers later this month.
Food inflation has reached near 20 per cent while sugar is inching near Rs 50 a kg in the retail market.
The Prime Minister would also review the implementation of the Essential Commodities Act for reining in the food
prices, Pawar said.
The Mayawati government does not allow the mills to process the imported raw sugar in Uttar Pradesh despite
repeated requests from the Centre.