New Delhi prepares to dump Indian sugar mountain onto world markets

Indian sugarIndian sugar mountain: India is planning to dump a mountain of sugar onto the world commodity markets in a move that could severely affect a market that is already struggling with a glut.
Five years of bumper crops have led to a giant sugar stockpile in India, with the country’s sugar refineries drip feeding the domestic market where they can get a higher price than by selling it internationally, thanks to import restrictions and government support.
New Delhi is now taking steps to appease the politically powerful sugar cane manufacturers’ lobby and is demanding that refiners release at least four million tons onto international markets by September next year, a move that analysts are predicting could knock 15% off the global price of sugar.

Source: wsj