DGFT Public Notice No. 12/2026-2027: Raw Cane Sugar Export Quota of 8606 MTRV Allocated for US Market Under TRQ Framework

Overview

The Directorate General of Foreign Trade (DGFT), operating under the Ministry of Commerce & Industry, has formally notified the allocation of 8606 MTRV of raw cane sugar for export to the United States of America under the Tariff Rate Quota (TRQ) scheme. This allocation pertains to the US fiscal year 2026, which runs from October 1, 2025 to September 30, 2026. The official communication was released vide Public Notice No. 12/2026-2027 dated May 22, 2026.

This notice has been issued in exercise of powers granted under Paragraph 2.04 of the Foreign Trade Policy, 2023, and carries significant implications for sugar exporters seeking preferential access to the US market.

Background: What is the TRQ Scheme?

The Tariff Rate Quota (TRQ) mechanism is a trade policy instrument that allows a specified quantity of goods to be exported at reduced or preferential tariff rates to a designated country. Once the quota is exhausted, exports beyond that threshold attract standard (higher) tariff rates.

For India, the TRQ scheme governing sugar exports to the USA and European Union (EU) was originally put into operation through Notification No. 3/2015-20 dated April 20, 2015. Under this framework:

  • Sugar falling under HS Code 17010000 is designated as "Free" for export to both the USA and EU under the TRQ mechanism.
  • This "Free" status is conditional upon compliance with the restrictions and conditions specified under the 'Nature of Restrictions' clause of the aforesaid notification.

The current public notice builds upon this existing framework by specifying the quantity allocated for the ongoing US fiscal year.

Key Highlights of Public Notice No. 12/2026-2027

Quantity Allocated

A total of 8606 MTRV of raw cane sugar has been earmarked for export to the United States under the TRQ scheme for the US fiscal year 2026 (October 1, 2025 – September 30, 2026).

Applicable HS Code

The allocation covers raw cane sugar classified under HS Code 17010000. Exporters must ensure correct classification at the time of shipment to avail the benefits under the TRQ regime.

Export Status

As per Notification No. 3/2015-20 dated April 20, 2015, the export of sugar under the said HS code to the USA and EU under TRQ continues to remain "Free", subject to adherence to the conditions prescribed under the 'Nature of Restrictions' in the notification.