Indian panel recommends lifting curbs on sugar sector

Last Updated: Fri, Oct 12, 2012 06:40 hrs

NEW DELHI, Oct 12 (Reuters) - An Indian committee has recommended scrapping the mandatory norm of buying 10 percent of sugar mills' output for supplies to the poor, the chairman of the panel said on Friday.

The latest move to lift controls in the sugar sector follows other recent reform measures such as raising the price of subsidised fuel to cut the budget deficit and opening up of the retail sector to foreign supermarkets by the federal government.

India is the world's top sugar consumer and biggest producer after Brazil. The country imposes restriction to moderate prices in the domestic markets.

The panel headed by C. Rangarajan, who is also the chairman of the prime minister's economic advisory council, has submitted the report to Prime Minister Manmohan Singh. (Reporting by Mayank Bhardwaj; editing by Malini Menon)

More from Sify: