Bengal: Sugar prices soar before festive season, Bihar minister asks ‘who eats sweets anymore’

Sugar prices are rising sharply across West Bengal just as the festive season approaches, putting bakeries, sweet shops, tea stalls and household budgets under growing pressure. In some markets, the price of a kilogram of sugar has climbed by around Rs 20 in only a few weeks, with wholesale rates reaching Rs 65–67 and retail prices touching around Rs 70 in different parts of the state.

The political controversy over the price rise has been sharpened by comments from Bihar minister Shravan Kumar, who dismissed concerns over rising sugar prices by asking, “People are already consuming less sugar these days. Everyone is suffering from diabetes. Who eats sweets anymore? I don't think a rise in sugar prices will make much of a difference. There is no cause for concern.”

His remarks drew criticism, particularly as sugar has reportedly risen from around Rs 45 to Rs 65 a kg in Bihar.

Another Bihar minister, Vijay Kumar Sinha, took a different position, saying, “I am personally happy when the prices of farmers' produce increase.” He added that the reasons for the sugar-price rise needed to be examined.

Independent MP Pappu Yadav attacked Shravan Kumar's comments, saying, “No matter how much ghee you pour over cow dung, it will still taste like cow dung. The real 'diabetes' is this (BJP) government.”

In Bengal, the immediate concern is not simply the price of sugar, but what it could do to the cost of sweets and everyday food. With Durga Puja and other major festivals approaching, demand for sandesh, rasgulla, kalakand, biscuits and cakes is expected to rise. If manufacturers pass on their higher costs, consumers could soon be paying more for some of Bengal's most popular festive foods, including daily puja staples like batasa and nakuldana.

Mayurakshi Mullick from a renowned sweet brand in Kolkata is also concerned about the sharp rise in sugar prices. “Sweet makers and bakery owners are struggling not only with soaring sugar prices but also with rising milk and cooking gas costs, adding further pressure to their already stretched margins,” she said.

In Jalpaiguri, the impact is already being felt by local businesses. Wholesale trader Gopal Agarwal said, “Sugar prices are rising daily.” He explained that he had to buy sugar from Siliguri at Rs 65 a kg and then pay another Rs 2 for transport to Jalpaiguri. “Transporting it to Jalpaiguri adds another Rs 2 per kg to the cost, forcing us to sell it at Rs 67 per kg,” he said.

For bakeries, the situation is particularly difficult because production costs are rising while selling prices remain largely unchanged. Bakery owners say they are buying sugar at around Rs 66 a kg to make cakes and biscuits, but cannot simply reduce the size of their products or raise prices without losing customers.

Some are therefore cutting production, while bakeries are reportedly considering reducing their workforce. One major bakery owner said the increase in sugar prices was causing losses of at least Rs 5,000 a day. Confectioners and bakery owners have also reduced the quantity of sugar they purchase because they cannot absorb the additional cost indefinitely.

The crisis is also being felt in Kolkata. Wholesale prices, which were around Rs 45–46 a kg three months ago, rose to Rs 54–55 last week before jumping to Rs 65–66. Retail prices have followed the wholesale market upwards.

Chandan Chakraborty, president of the West Bengal Vendor Association, alleged, “The price was Rs 53 last week and reached Rs 65 by yesterday. It is entirely a case of black marketing.”

A sugar trader in Posta offered another explanation: “Sugar stocks at the mills have dwindled. Previously, when prices were lower, stocks were plentiful; now, they have dropped significantly.”

The government has responded by tightening stock limits and considering imports. Traders and companies that could previously hold a 30-day supply will, from September, be restricted to 15 days' stock. The Centre is also reportedly preparing to import sugar to strengthen domestic supplies.

But the bigger question is why India, traditionally a major sugar exporter, is facing such a squeeze. A growing number of experts are pointing to the country's aggressive ethanol policy. Sugarcane is increasingly being diverted towards ethanol production as India pushes E20 petrol to reduce dependence on imported crude oil.

According to the All India Distillers Association, sugarcane accounts for around 30–35 per cent of the raw material used for ethanol production. Agricultural expert and Lucknow University professor Sudhir Panwar said, “Sugar prices in India have risen due to the diversion of sugarcane for ethanol production.”

However, Panwar believes ethanol alone cannot explain the scale of the price increase. “The state of the sugar market was not that dire. This suggests there could be market manipulation by sugar hoarders and retailers,” he said. He also warned that “fuel policies should not drive up food prices.”

This is particularly important for Bengal, where sugar is not merely a household commodity but an essential ingredient in a huge sweets and bakery industry. If supply remains tight through September and October, the increased cost is likely to move down the chain — from mills and wholesalers to sweet shops and finally consumers.