Raksha Bandhan ‘Less Sweet’? Sugar Price Spike Triggers Fresh Political Row

With Raksha Bandhan just days away, rising sugar prices have triggered a fresh political row, with the CPI(M) accusing the BJP-led Centre of allowing excessive diversion of sugarcane for ethanol production at the expense of ordinary consumers.

In Bhopal, the retail price of sugar has reportedly climbed to Rs 70 per kg, up from around Rs 65 per kg a week ago, according to grocery shop owners. The increase comes ahead of Raksha Bandhan, which will be celebrated on August 28, when demand for sweets and other festive items typically rises.

Madhya Pradesh CPI(M) secretary Jaswinder Singh alleged that the government's push for ethanol production had contributed to tighter sugar availability and higher prices. He claimed that nearly 25 lakh tonnes of sugarcane had been diverted for ethanol production, warning that the policy could make the festival season more expensive for households.

"The government was warned about the possible consequences, but it continued to promote ethanol production," Singh said, alleging that consumers were now bearing the impact through rising prices.

The party demanded steps to bring down sugar prices and questioned why the government was considering imports instead of restricting the diversion of sugarcane towards ethanol production. Singh also warned that imports could take time to arrive and may not provide immediate relief if prices remain elevated during the festive season, including Diwali.

The Centre, however, has rejected the Opposition's allegations, maintaining that India has sufficient sugar stocks to meet domestic demand. The government has instead blamed the sugar industry for raising prices despite adequate availability.

The latest surge has once again brought the government's ethanol blending policy under scrutiny. While the policy is aimed at reducing dependence on imported fossil fuels and supporting cleaner energy, Opposition parties argue that the balance between fuel goals and food prices must not come at the cost of consumers.

With the festive season gathering momentum, the key question now is whether sugar prices will stabilise, or continue to add pressure on household budgets.