INDIA – MEASURES CONCERNING SUGAR AND SUGARCANE REQUEST FOR CONSULTATIONS BY BRAZIL
Document: REQUEST FOR CONSULTATIONS BY
Date: 5 March 2019
Document codes: WT/DS579/1; G/AG/GEN/151; G/L/1298
Complainant: Brazil
Respondent: India
Third parties: Australia, Canada, China, Colombia, Costa Rica, El Salvador, EU, Guatemala, Honduras, Indonesia, Japan, Panama, Russia, Thailand, U.S.
Dispute stage: Panel
Agreements cited: Art. 3.2, 3.3, 6.3, 7.2(b), 8, 9.1, 10.1  Agriculture

INDIA – MEASURES CONCERNING SUGAR AND SUGARCANE
REQUEST FOR CONSULTATIONS BY BRAZIL
The following communication, dated 27 February 2019 , from the delegation of Brazil to the
delegation of India, is circulated to the Dispute Settlement Body in accordance with Article 4.4 of
the DSU.

Agreement on Tariffs and Trade 1994, with respect to all domestic support India provides in favour
of agricultural producers of sugarcane and sugar, as well as all export subsidies India pro vides for
sugar and sugarcane.
I. Background
2. In recent years, India has massively increased the level of domestic support under its support
regime for sugarcane and sugar. For example, India has almost doubled the Fair and Remunerative
Price for sugarcane from INR 1391.2 per tonne in 2010/11 to INR 2750 per tonne in 2018/19. That
Fair and Remunerative Price is the minimum price that, under Indian Federal law, Indian sugar mills
must pay Indian sugarcane producers. It constitutes one of India's most important support measures
for sugarcane producers. In addition, some of India's States provide for higher minimum prices for
sugarcane that local sugar mills must pay local sugarcane producers. Moreover, India has recently
reintroduced a minimum price for sugar, pursuant to which sugar producers shall not sell white sugar
or refined sugar in the domestic market at a price below the price fixed by the government.
3. Minimum prices for sugarcane and sugar, along with further support measures, incentivise
Indian sugarcane farmers to grow large amounts of sugarcane. Specifically, India's domestic support
regime for sugarcane and sugar has led to increased domestic production of sugarcane and sugar in
India. With production exceeding domestic sugar demand, and resulting increases in sugar stocks,
the Government of India further, and regularly, intervenes in the market. For the 2018/19
season alone, the Government of India has approved dozens of assistan ce programs, worth over
INR 55 billion, to support the sugar industry.1
4. Moreover, sugar mills in India are assigned a mill -specific Minimum Indicative Export Quota
("MIEQ").2 Under the MIEQ, sugar mills must export an allocated amount of sugar by the end of
each season. The total amount that the mills are mandated to export has increased from 2 million
tons in 2017/18 to 5 million tons in 2018/19, leading to substantial pricing pressures on world market
prices. Certain of India's support measures are dependent on compliance with the MIEQ, or otherwise
dependent on export performance.

1 Press Information Bureau of the Government of India, Cabinet Committee on Economic Affairs,
"Cabinet approves comprehensive policy to deal with excess sugar production in the country", 26 September
2018, available at http://pib.nic.in/newsite/PrintRelease.aspx?relid=183700 (last visited 25 February 2019).
2 See, e.g., Ministry of Consumer Affairs, Food and Public Distribution Notification No.1(4)/2018-SP-I of
28 September 2018; Ministry of Consumer Affairs, Food and Public Distribution Notification No.1(4)/2018-SP-I
of 9 May 2018, and the related measures identified in Section III, below.
WT/DS579/1 • G/AG/GEN/151 • G/L/1298

5. The specific measures that are the subject of this request for consultations are domestic
support measures for sugarcane and sugar, as well as export subsidies for sugar and sugarcane, as
specifically identified in Sections II and III, respectively.
II. Domestic Support Measures for Sugarcane and Sugar
6. The domestic support measures and programs for sugarcane and sugar include, but are not
limited to, the following:
7. Federal-level domestic support for sugarcane in the form of a mandatory minimum "Fair and
Remunerative Price " that Indian sugar mills are required to pay sugarcane producers for any
production delivered to the mill. This domestic support is provided under, including but not limited
to, the following legal instruments:
a. Sections 3 and 7 of the Essential Commodities Act, 1955, as amended;
b. Sections 3, 3A, 4, 4A, and 5 of the Sugarcane (Control) Order, 1966, as amended;
c. Annual communications fixing the Fair and Remunerative Price for sugarcane,
including but not limited to the following:
o Communication No. 3(3)/2013-SP.II by the Ministry of Consumer Affairs,
Food & Public Distribution, Department of F ood & Public Distribu tion of
14 February 2014 that announces the Fair and Remunerative Price for
sugarcane to be paid by sugar mills for the 2014/15 season;
o Communication No. 3(1)/2014-SP.II by the Ministry of Consumer Affairs,
Food & Public Distribution, Department of Food & Public Distribution of
2 February 2015 that announces the Fair and Remunerative Price for
sugarcane to be paid by sugar mills for the 2015/16 season;
o Communication No. 3(7)/2015-SP.I by the Ministry of Consumer Affairs,
Food & Public Distribution, Departm ent of F ood & Public Distribution of
12 April 2016 that announces the Fair and Remunerative Price for
sugarcane to be paid by sugar mills for the 2016/17 season;
o Communication No. 3(3)/2016-SP-II by the Ministry of Consumer Affairs,
Food & Public Distribu tion, Department of Food & Public Distribution of
1 June 2017 that announces the Fair and Remunerative Price for
sugarcane to be paid by sugar mills for the 2017/18 season;
o Communication by the Ministry of Consumer Affairs, Food & Public
Distribution, Department of Food & Public Distribution that announces the
Fair and Remunerative Price for sugarcane to be paid by sugar mills for
the 2018/19 season;3 and,
o All other Federal government Communications, and other instruments,
including successor instruments, and any amendments thereto, that
provide for a Fair and Remunerative Price for sugarcane for the 2014/15,
2015/16, 2016/17, 2017/18, 2018/19 seasons and subsequent seasons.
d. All Notifications fixing the "Fair and Remunerative Price" to be paid for sugarcane
on a mill-specific basis, including but not limited to the following:

3 See Press Release, Press Information Bureau, Ministry of Consumer Affairs, Food & Public Distribution
entitled "Cabinet approves determination of Fair and Remunerative Price payable by Sugar Mills for 2018-19
sugar season", dated 18 July 2018, available at http://www.pib.nic.in/PressReleseDetail.aspx?PRID=1539077
(last visited 25 February 2019).
WT/DS579/1 • G/AG/GEN/151 • G/L/1298

o Notification G.S.R. 752(E) of the Ministry of Consumer Affairs, Food &
Public Distribution, Department of Food & Public Distribution of 1 October
2015, fixing the fair and remunerative price for the 2014/15 season;
o Notification G.S.R. 195(E) of the Ministry of Consumer Affairs, Food &
Public Distribution, Department of Food & Public Distribution of 28
February 2018, fixing the fair and remunerative price for the 2014/15
season;
o Notification G.S.R. 932(E) of the Ministry of Consumer Affairs, Food &
Public Distribution, Department of Food & Public Distribution of 30
September 2016, fixing the fair and remunerative price for the 2015/16
season;
o Notification G.S.R. 14 2(E) of the Ministry of Consumer Affairs, Food &
Public Distribution, Department of F ood & Public Distribution of
17 February 2017, fixing the fair and remunerative price for the 2015/16
season;
o Notification G.S.R. 1204(E) of the Ministry of Consumer Affai rs, Food &
Public Distribution, Department of F ood & Public Distribution of
27 September 2017, fixing the fair and remunerative price for the
2015/16 season;
o Notification G.S.R. 1205(E) of the Ministry of Consumer Affairs, Food &
Public Distribution, Depar tment of F ood & Public Distribution of
27 September 2017, fixing the fair and remunerative price for the
2016/17 season; and,
o All other Notifications and other instruments, including successor
instruments, and any amendments thereto, that fix a mill-specific Fair and
Remunerative Price to be paid for sugarcane for the 2014/15, 2015/16,
2016/17, 2017/18, 2018/19 seasons and subsequent seasons.
8. State-level domestic support for sugarcane in the form of a mandatory minimum "State
Advised Price" that sugar mills located in the respective Indian State are required to pay sugarcane
producers in that State for any production delivered to the mill. For each of the identified States,
this domestic support is provided under, including but not limited to, the following legal instruments:
a. Andhra Pradesh:
o Any and all State -level legal instruments in the State of Andhra Pradesh
that provide for a mandatory minimum price for sugarcane that is higher
than the "Fair and Remunerative Price " during the 2014/15, 2015/16,
2016/17, 2017/18, 2018/19 seasons and subsequent seasons;
b. Bihar:
o The Bihar Sugarcane (Regulation of Supply and Purchase) Act, 1981, as
amended;
o The State Advised Price in Bihar for the 2014/15 season;4

4 "Price Policy for Sugarcane (2018-19 Sugar Season)", Commission for Agricultural Costs and Prices,
Department of Agriculture, Cooperation and Farmers Welfare, Ministry of Agriculture and Farmers Welfare,
Government of India, p. 57, available at
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622 (last visited
25 February 2019).
WT/DS579/1 • G/AG/GEN/151 • G/L/1298

o The State Advised Price in Bihar for the 2015/16 season;5
o The State Advised Price in Bihar for the 2016/17 season;6
o The State Advised Price in Bihar for the 2017/18 season;7
o All other State -level legal instruments, including successor instruments,
and any amendments thereto that provide for a mandatory minimum price
for sugarcane that is higher than the "Fair and Remunerative Price" in the
State of Bihar during the 2014/15, 2015/16, 2016/17, 2017/18, 2018/19
seasons and subsequent seasons;
c. Gujarat:
o Any and all State -level legal instruments in the State of Gujarat tha t
provide for a mandatory minimum price for sugarcane that is higher than
the "Fair and Remunerative Price" during the 2014/15, 2015/16, 2016/17,
2017/18, 2018/19 seasons and subsequent seasons;
d. Haryana:
o The Punjab Sugarcane (Regulation of Purchase and Supply) Act, 1953, as
amended, as it applies to the State of Haryana;
o The Haryana Sugarcane (Regulation of Supply and Purchase) Rules, 1992,
as amended;
o The State Advised Price in Haryana for the 2014/15 season;8
o The State Advised Price in Haryana for the 2015/16 season;9
o The State Advised Price in Haryana for the 2016/17 season;10

5 "Price Policy for Sugarcane (2018-19 Sugar Season)", Commission for Agricultural Costs and Prices,
Department of Agriculture, Cooperation and Farmers Welfare, Ministry of Agriculture and Farmers Welfare,
Government of India, p. 57, available at
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622 (last visited 25
February 2019).
6 "Price Policy for Sugarcane (2018-19 Sugar Season)", Commission for Agricultural Costs and Prices,
Department of Agriculture, Cooperation and Farmers Welfare, Ministry of Agriculture and Farmers Welfare,
Government of India, p. 57, available at
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622 (last visited 25
February 2019).
7 See "Mills to buy sugar cane at higher prices this season", Times of India, 14 November 2018,
available at https://timesofindia.indiatimes.com/city/patna/mills-to-buy-sugar-cane-at-higher-prices-this-
season/articleshow/61632790.cms (last visited 25 February 2019).
8 "Price Policy for Sugarcane (2018-19 Sugar Season)", Commission for Agricultural Costs and Prices,
Department of Agriculture, Cooperation and Farmers Welfare, Ministry of Agriculture and Farmers Welfare,
Government of India, p. 57, available at
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622 (last visited 25
February 2019).
9 "Price Policy for Sugarcane (2018-19 Sugar Season)", Commission for Agricultural Costs and Prices,
Department of Agriculture, Cooperation and Farmers Welfare, Ministry of Agriculture and Farmers Welfare,
Government of India, p. 57, available at
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622 (last visited 25
February 2019).
10 "Price Policy for Sugarcane (2018-19 Sugar Season)", Commission for Agricultural Costs and Prices,
Department of Agriculture, Cooperation and Farmers Welfare, Ministry of Agriculture and Farmers Welfare,
Government of India, p. 57, available at
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622 (last visited 25
February 2019).
WT/DS579/1 • G/AG/GEN/151 • G/L/1298

o The State Advised Price in Haryana for the 2017/18 season;11
o The State Advised Price in Haryana for the 2018/19 season;12
o All other State -level legal instruments, including successor i nstruments,
and any amendments thereto that provide for a mandatory minimum price
for sugarcane that is higher than the "Fair and Remunerative Price" in the
State of Haryana during the 2014/15, 2015/16, 2016/17, 2017/18,
2018/19 seasons and subsequent seasons;
e. Karnataka:
o The Karnataka Sugarcane (Regulation of Purchase and Supply) Act, 2013,
as amended;
o All other State -level legal instruments, including successor instruments,
and any amendments thereto that provide for a mandatory minimum price
for sugarcane that is higher than the "Fair and Remunerative Price" in the
State of Karnataka during the 2014/15, 2015/16, 2016/17, 2017/18,
2018/19 seasons and subsequent seasons;
f. Madhya Pradesh:
o Any and all State-level legal instruments in the State of Madhya Prades h
that provide for a mandatory minimum price for sugarcane that is higher
than the "Fair and Remunerative Price " during the 2014/15, 2015/16,
2016/17, 2017/18, 2018/19 seasons and subsequent seasons;
g. Maharashtra:
o The Essential Commodities (Maharashtra Amendment) Act, 1975, as
amended;
o The Maharashtra Regulation of Sugarcane Price (Supplied to Factories)
Act, 2013, as amended;
o All other State -level legal instruments, including successor instruments,
and any amendments thereto that provide for a mandatory minimum price
for sugarcane that is higher than the "Fair and Remunerative Price" in the
State of Maharashtra during the 2014/15, 2015/16, 2016/17, 2017/18,
2018/19 seasons and subsequent seasons;13
h. Punjab:
o The Punjab Sugarcane (Regulation of Purchase and Supply) Act, 1953, as
amended;
o The Punjab Sugarcane (Regulation of Purchase and Supply) Rules, 1958,
as amended;

11 See "Sugar mills start crushing sugarcane", Haryanaabtak 3 November 2017, available at
http://haryanaabtak.com/featured/palwal-haryana-03-november-report/ (last visited 25 February 2019).
12 See "Haryana Government raises the price by ten rupees per quintal on all varieties of sugarcane",
Patrika, 28 December 2018, available at https://www.patrika.com/bhiwani-news/raised-the-price-per-quintal-
on-all-varieties-of-sugarcane-in-haryana-3896824/ (last visited 25 February 2019).
13 Brazil notes that the Maharashtra Sugarcane Price Control Board is mandated to "decide Sugarcane
price payable to the farmers, which shall be in addition to the Fair and Remunerative Price". See
http://mahasugar.co.in/index.html (last visited 25 February 2019).
WT/DS579/1 • G/AG/GEN/151 • G/L/1298

o The State Advised Price in Punjab for the 2014/15 season;14
o The State Advised Price in Punjab for the 2015/16 season;15
o The State Advised Price in Punjab for the 2016/17 season;16
o All other State -level legal instruments, including successor instruments,
and any amendments thereto that provide for a mandatory minimum price
for sugarcane that is higher than the "Fair and Remunerative Price" in the
State of Punjab during the 2014/15, 2015/16, 2016/17, 2017/18,
2018/19 seasons and subsequent seasons;
i. Tamil Nadu:
o The Tamil Nadu Sugarcane (Regulation of Purchase Price) Act, 2018;
o Order G.O.(Ms).No.15 of the Agriculture (S1) Department of the
Government of Tamil Nadu of 14 January 2015 that announces the State
Advised Price for sugarcane to be paid by sugar mills in Tamil Nadu for
the 2014/15 season;
o Order G.O.(Ms).No.20 of the Agriculture (S1) Department of the
Government of Tamil Nadu of 11 January 2016 that announces the State
Advised Price for sugarcane to be paid by sugar mills in Tamil Nadu for
the 2015/16 season;
o Order G.O.(Ms).No.5 of the Agriculture (S1) Department of the
Government of Tamil Nadu of 5 January 2017 that announces the State
Advised Price for sugarcane to be paid by sugar mills in Tamil Nadu for
the 2016/17 season;
o All other State -level legal instruments, including successor instruments,
and any amendments thereto that provide for a mandatory minimum price
for sugarcane that is higher than the "Fair and Remunerative Price" in the
State of Tamil Nadu during the 2014/15, 2015/16, 2016/17, 2017/18,
2018/19 seasons and subsequent seasons;
j. Telangana:
o Any and all State -level legal instruments in the State of Telangana that
provide for a mandatory minimum price for sugarcane that is higher than
the "Fair and Remunerative Price" during the 2014/15, 2015/16, 2016/17,
2017/18, 2018/19 seasons and subsequent seasons;

14 "Price Policy for Sugarcane (2018-19 Sugar Season)", Commission for Agricultural Costs and Prices,
Department of Agriculture, Cooperation and Farmers Welfare, Ministry of Agriculture and Farmers Welfare,
Government of India, p. 57, available at
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622 (last visited 25
February 2019).
15 "Price Policy for Sugarcane (2018-19 Sugar Season)", Commission for Agricultural Costs and Prices,
Department of Agriculture, Cooperation and Farmers Welfare, Ministry of Agriculture and Farmers Welfare,
Government of India, p. 57, available at
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622 (last visited 25
February 2019).
16 "Price Policy for Sugarcane (2018-19 Sugar Season)", Commission for Agricultural Costs and Prices,
Department of Agriculture, Cooperation and Farmers Welfare, Ministry of Agriculture and Farmers Welfare,
Government of India, p. 57, available at
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622 (last visited 25
February 2019).
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k. Uttarakhand:
o The State Advised Price in Uttarakhand for the 2014/15 season;17
o The State Advised Price in Uttarakhand for the 2015/16 season;18
o The State Advised Price in Uttarakhand for the 2016/17 season;19
o The State Advised Price in Uttarakhand for the 2017/18 season;20
o The State Advised Price in Uttarakhand for the 2018/19 season;21
o All other State-level legal instruments, including successor instruments,
and any amendments thereto that provide for a mandatory minimum price
for sugarcane that is higher than the "Fair and Remunerative Price" in the
State of Uttarakhand during the 2014/15, 2015/16, 2016/17, 2017/18,
2018/19 seasons and subsequent seasons;
l. Uttar Pradesh:
o The Uttar Pradesh Sugarcane (Regulation of Supply & Purchase) Act,
1953, as amended;
o The State Advised Price in Uttar Pradesh for the 2014/15 season;22
o The State Advised Price in Uttar Pradesh for the 2015/16 season;23
o The State Advised Price in Uttar Pradesh for the 2016/17 season;24

17 "Price Policy for Sugarcane (2018-19 Sugar Season)", Commission for Agricultural Costs and Prices,
Department of Agriculture, Cooperation and Farmers Welfare, Ministry of Agriculture and Farmers Welfare,
Government of India, p. 58, available at
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622 (last visited 25
February 2019).
18 "Price Policy for Sugarcane (2018-19 Sugar Season)", Commission for Agricultural Costs and Prices,
Department of Agriculture, Cooperation and Farmers Welfare, Ministry of Agriculture and Farmers Welfare,
Government of India, p. 58, available at
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622 (last visited 25
February 2019).
19 "Price Policy for Sugarcane (2018-19 Sugar Season)", Commission for Agricultural Costs and Prices,
Department of Agriculture, Cooperation and Farmers Welfare, Ministry of Agriculture and Farmers Welfare,
Government of India, p. 58, available at
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622 (last visited 25
February 2019).
20 See "Good news for farmers, sugarcane can be sold at Rs 327 per quintal in 2018-19", Amarujala, 21
December 2018, available at https://www.amarujala.com/dehradun/sugarcane-purchase-price-increased-in-
uttarakhand-for-farmers (last visited 25 February 2019).
21 See "Good news for farmers, sugarcane can be sold at Rs 327 per quintal in 2018-19", Amarujala, 21
December 2018, available at https://www.amarujala.com/dehradun/sugarcane-purchase-price-increased-in-
uttarakhand-for-farmers (last visited 25 February 2019).
22 "Price Policy for Sugarcane (2018-19 Sugar Season)", Commission for Agricultural Costs and Prices,
Department of Agriculture, Cooperation and Farmers Welfare, Ministry of Agriculture and Farmers Welfare,
Government of India, p. 58, available at
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622 (last visited 25
February 2019).
23 "Price Policy for Sugarcane (2018-19 Sugar Season)", Commission for Agricultural Costs and Prices,
Department of Agriculture, Cooperation and Farmers Welfare, Ministry of Agriculture and Farmers Welfare,
Government of India, p. 58, available at
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622 (last visited 25
February 2019).
24 "Price Policy for Sugarcane (2018-19 Sugar Season)", Commission for Agricultural Costs and Prices,
Department of Agriculture, Cooperation and Farmers Welfare, Ministry of Agriculture and Farmers Welfare,
Government of India, p. 58, available at
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o Notification No. 2489/46-3-17-3(48)/98-99 issued by the Sugar Industry
Section-3, Government of Uttar Pradesh, dated 26 October 2017, that
establishes a State Advised Price for the 2017/18 season;
o The State Advised Price in Uttar Pradesh for the 2018/19 season;25
o All other State -level legal instruments, including successor instruments,
and any amendments thereto that provide for a mandatory minimum price
for sugarcane that is higher than the "Fair and Remunerative Price" in the
State of Uttar Pradesh during the 2014/15, 2015/16, 2016/17, 2017/18,
2018/19 seasons and subsequent seasons; and,
m. All other State -level acts, orders, or other legal instrumen ts that regulate the
purchase price for sugarcane, including mandatory minimum "State Advised
Prices" that sugar mills located in the respective Indian State are required to pay
sugarcane producers, in any of the above-mentioned States during the 2014/15,
2015/16, 2016/17, 2017/18, 2018/19 seasons and subsequent seasons.
9. Federal-level domestic support for sugarcane and sugar further includes the mandatory
minimum price for sugar that Indian sugar mills are required to charge for sugar sold into the
domestic Indian market under, including but not limited to, the following legal instruments:
a. Section 3 of the Essential Commodities Act, 1955, as amended;
b. Section 3 of the Sugar Price (Control) Order, 2018, as amended;
c. All notifications that fix a minimum price f or domestic sugar sales, including, but
not limited to:
o Order S.O.2346(E) of 7 June 2018 of the Ministry of Consumer Affairs,
Food & Public Distribution, Department of Food & Public Distribution, fixing
a minimum sales price for sugar;
o Order S.O.874(E) of 14 February 2019 of the Ministry of Consumer Affairs,
Food & Public Distribution, Department of Food & Public Distribution, fixing
a minimum sales price for sugar;
d. All other instruments, successor instruments, and any amendments thereto that
provide for a minimum price for sugar for the 2014/15, 2015/16, 2016/17,
2017/18, 2018/19 seasons and subsequent seasons.
10. Federal-level and State-level domestic support for sugarcane in the form of various measures
by the Federal and State governments in India to suppo rt the production of sugarcane and sugar
under, including but not limited to, the following legal instruments:
a. Federal-level subsidies paid for the production of sugarcane or sugar including,
but not limited to:
o Production Subsidy Scheme for the sugar season 2014/15 providing cash
grants to pay farmers paid directly to farmers on behalf of mills.
o Notification No. 20(43)/2015 -S.P.-I of the Ministry of Consumer Affairs,
Food & Public Distribution, Department of Food & Public Distribution of

http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622 (last visited 25
February 2019).
25 See "UP govt decides not to raise cane price; SAP stays at Rs 315 a quintal", Business Standard, 30
November 2018, available at https://www.business-standard.com/article/economy-policy/up-govt-decides-not-
to-raise-cane-price-sap-stays-at-rs-315-a-quintal-118113000853_1.html (last visited 25 February 2019).
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2 December 2015, providing for a "Scheme for Extending Production
Subsidy" for the 2015/16 season;
o A production subsidy for sugarcane for the 2016/17 season;26
o Notification No. 1(5)/2018-S.P.-I of the Ministry of Consumer Affairs, Food
& Public Distribution, Department of Food & Public Distribution of 9 May
2018, providing for a "Scheme for Assistance to Sugar Mills " for the
2017/18 season, as amended;
o Notification No. 1(14)/2018 -S.P.-I of the Ministry of Consumer Affairs,
Food & Public Distribution, Department of Food & Pu blic Distribution of
5 October 2018, providing for a "Scheme for Assistance to Sugar Mills" for
the 2018/19 season;
b. Federal-level subsidized loans for the production of sugarcane or sugar including,
but not limited to:
o Notification No. 1(5)/2015 -S.P.-I. of the Ministry of Consumer Affairs,
Food & Public Distribution, Department of Food & Pub lic Distribution of
23 June 2015, providing for a "Scheme for Extending Soft Loan " for the
payment of cane arrears for the 2014/15 season, as amended;
o Notification No. 2 0-90/2013-SP.-II of the Ministry of Consumer Affairs,
Food & Public Distribution, Department of Food & Public Distribution of
3 January 2014, providing for a "Scheme for Extending Financial
Assistance to Sugar Undertakings, 2014";
o Any loans granted at subsidised interest rates under Sections 4 and 5 of
the Sugar Development Fund Act, 1982, as amended, and the Sugar
Development Fund Rules, 1983, as amended;
c. Federal-level support for the maintenance of stocks for sugar including, but not
limited to:
o Sugar (Control) Order 1966, clause 5, directing quantities that may be
held by dealers of sugar;
o Order G.S.R. 471(E) of Ministry of Consumer Affairs, Food & Public
Distribution of 29 April 2016;
o Order G.S.R.871(E) of the Ministry of Consumer Affairs, Food & Public
Distribution, Department of Food & Public Distribution of 8 September
2016, specifying quantities of sugar to be held by sugar mills;
o Order S.O.3348(E) of the Ministry of Consumer Affairs, Food & Public
Distribution, Department of Food & Public Distribution of 28 October 2016,
specifying quantities of sugar to be held by sugar mills;

26 Reflected in Ministry of Consumer Affairs, Food & Public Distribution, Budget allocation to 31 March
2016, "Production Subsidy to Sugar Mills to offset cost of cane and facilitate timely payment of cane price dues
of farmers. (Subsidy) (New Scheme) Financial Year 2016-17: Budget Estimates [INR] 950.01 [in crores]";
Ministry of Consumer Affairs, Food & Public Distribution, Notes on Demands for Grants 2016-17, Demand No.
17, Budget 2016-17, "Production Subsidy to Sugar Mills to offset cost of cane and facilitate timely payment of
cane price dues of farmers, Plan: 950.01 [in crores of Rupees]", under Major Head 2408; and Outcome Budget
2016-17, Department of Food & Public Distribution, 6.10 "Production Subsidy to Sugar Mills to offset cost of
cane and facilitate timely payment of cane price dues of farmers, [INR] 950.01 [crore], "The production
subsidy @ [INR] 4.5 per quintal of cane crushed will be provided for estimated 255 million MT of cane. This will
help sugar mills to reduce the financial burden and help farmers to clear the cane dues in time", pp. 21, 110.
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o Order G.S.R.1069(E) of the Ministry of Consumer Affairs, Food & Public
Distribution, Department of Food & Public Distribution of 28 August 2017,
specifying quantities of sugar to be held by sugar mills;
o Order G.S.R. 149(E) of the Ministry of Consumer Affairs, Food & Public
Distribution, Department of Food & Public Distribution of 8 February 2018,
specifying minimum quantities of sugar to be held by sugar mills;
o Order S.O.2347(E) of the Ministry of Consumer Affairs, Food & Public
Distribution, Department of Food & Public Distribution of 7 June 2018
enabling the central government to specify quantities of sugar to be held
in stock by sugar mills;
o Notification No. 1(6)/2018-SP-I of the Ministry of Consumer Affairs, Food
& Public Distribution, Department of Food & Public Distribution of 15 June
2018, providing for a "Scheme for Creation and Maintenance of Buffer
Stock";
o Ministry of Consumer Affairs, Food & Public Distributi on, Department of
Food & Public Distribution Order of 29 June 2018, allocating 30 Lakh MT
for the creation and maintenance of buffer stock;
o Order F. No. 5-1/2018-Sugar Control of Ministry of Consumer Affairs, Food
& Public Distribution of 30 July 2018;
o Order No. 5 -1/2018 of the Ministry of Consumer Affairs, Food & Public
Distribution, Department of Food & Public Distribution of 31 August 2018;
o Order F. No. 5-1/2018-Sugar Control of Ministry of Consumer Affairs, Food
& Public Distribution of 28 September 2018;
o Order F. No. 5-1/2018-Sugar Control of Ministry of Consumer Affairs, Food
& Public Distribution of 31 October 2018;
o Order No. 5 -1/2018 of the Ministry of Consumer Affairs, Food & Public
Distribution, Department of Food & Public Distribution of 30 November
2018, specifying quantities of sugar to be held in stock by sugar mills;
o Order No. 5 -1/2018 of the Ministry of Consumer Affairs, Food & Public
Distribution, Department of Food & Public Distribution of 28 December
2018, specifying quantities of sugar to be held in stock by sugar mills;
o Notification No. 1(6)/2018-SP-I of the Ministry of Consumer Affairs, Food
& Public Distribution, Department of F ood & Public Distribution of
31 December 2018, providing for a change to the "Scheme for Creation
and Maintenance of Buffer Stock";
o Order F. No. 5-1/2018-Sugar Control of Ministry of Consumer Affairs, Food
& Public Distribution of 31 January 2019;
d. State-level domestic support in the form of assistance subsidies, subsidised loans,
and other subsidies for the production of sugarcane and sugar including, but not
limited to:
o Notification dated 2 August 2017 issued by Department of Industrial Unit,
Government of Bihar, reducing the rate of commission to be paid by sugar
mills on the purchase of sugarcane for the 2016/17 season;
o Notification dated 17 May 2018 issued by Department of Industrial Unit,
Government of Bihar, reducing the rate of commission to be paid by sugar
mills on the purchase of sugarcane for the 2017/18 season;
WT/DS579/1 • G/AG/GEN/151 • G/L/1298

o Notification dated 17 May 2018 issued by Department of Industrial Unit,
Government of Bihar, exempting sugar mills from payments of certain
taxes for the 2017/18 season;
o The Chief Ministers Sugarcane Development Scheme in the State of Bihar,
providing for subsidies for the purchase and transp ortation of registered
seed of sugarcane for the 2017/18 season;
o Haryana financial assistance (subsidy and soft loans) of INR 16/qtl;27
o Scheme-1-180618 of the Sugar Regulatory Authority, Government of
Gujarat, providing for liquidity support to sugar cooper atives for the
season 2018/19;
o Scheme-3-180618 of the Sugar Regulatory Authority, Government of
Gujarat, providing funds to sugar mills for the season 2018/19;
o Scheme-4-180618 of the Sugar Regulatory Authority, Government of
Gujarat, providing for a liquidity support loan to sugar mills for the season
2018/19;
o Notification No. SCPT-1117/CR-03/Taxation-3 of the Finance Department,
Government of Maharashtra of 19 April 2017, exempting sugar factories
from payments of certain taxes for the season 2016/17;
o Funds provided by the State of Maharashtra in connection with drip and
micro irrigation of sugarcane, including but not limited to:
▪ Notification dated 06.10.2016 issued by the Department of
Agriculture, Government of Maharashtra;
▪ Notification dated 24.07.2017 issued by the Department of
Agriculture, Government of Maharashtra;
▪ Notification dated 12.09.2018 issued by the Department of
Agriculture, Government of Maharashtra;
▪ Notification dated 31.07.2018 issued by the Department of
Agriculture, Government of Maharashtra;
o Notification dated 16.11.2016 issued by the Department of Agriculture,
Government of Maharashtra providing for a soft loan scheme for
sugarcane farmers in the State of Maharashtra;
o Order G.O.(Ms).No.191 of the Agriculture (S1) Department of the
Government of Tamil Nadu of 24 July 2018, providing for payments to
sugarcane farmers in addition to the Federal Fair and Remunerative Price
for the 2017/18 season;
o Order G.O.(Ms).No.230 of the Agriculture (S1) Department of the
Government of Tamil Nadu of 17 September 2018, providing for payments
to sugarcane farmers in addition to the Federal Fair and Remunerative
Price for the 2017/18 season;

27 "State subsidies for farmers to improve mills’ liquidity, clear cane dues", Business Standard, 19
October 2018, available at https://www.business-standard.com/article/economy-policy/state-subsidies-to-
improve-mills-liquidity-clear-cane-dues-118101900698_1.html (last visited 25 February 2019), and "State
subsidies to improve mills’ liquidity & clear cane dues: Report", Daily Pioneer, 20 October 2018, available at
https://www.dailypioneer.com/2018/business/state-subsidies-to-improve-mills----liquidity---clear-cane-dues-
report.html (last visited 25 February 2019).
WT/DS579/1 • G/AG/GEN/151 • G/L/1298

o Notification dated 24 September 2015 issued by Sugar Industrial Unit,
Government of Uttar Pradesh, providing for a s cheme for easing dues on
sugarcane farmers for the 2014/15 season;
o Below-market loans to farmers in Uttar Pradesh, announced 26 September
2018;28
o Production subsidy for sugar mills in Uttar Pradesh of INR 4.5 per
quintal;29
o Notification dated 21 March 2018 issued by Sugar Industrial Unit,
Government of Uttar Pradesh, providing for funds for drip irrigation during
the season 2016/17;
o Notification dated 15 November 2017 issued by Cane Development &
Sugar Industry, Government of Uttar Pradesh, waiving the guarantee fee
payable by certain sugar mills on government guarantees;
o Assistance subsidies, subsidised loans, and other subsidies specifically
provided to producers of sugarcane and sugar by the Indian States of
Andhra Pradesh, Bihar, Gujarat, Haryana, Karnat aka, Maharashtra,
Punjab, Tamil Nadu, Telangana, Uttarakhand, Madhya Pradesh, and Uttar
Pradesh;30
e. Any funds provided by Indian States and the Federal Government in relation to
sugarcane under the Krishonnati Yojana Scheme;31 and,
f. All other Federal -level or State-level instruments, including all successor
instruments, and any amendments thereto, providing product -specific domestic
support for sugarcane through non-exempt direct payments or any other subsidy
not exempted from reduction commitments whether pro vided by the Federal
government or any of the individual States during the 2014/15, 2015/16,
2016/17, 2017/18, 2018/19 seasons and subsequent seasons.
11. In addition to the measures identified in paragraphs 7 to 10, the measures covered by this
request for consultations include any amendments to any of the measures listed in paragraphs 7 to
10, above, or related, successor, replacement, or implementing measures thereto.

28 See "Sweet & Sour: UP offers Rs 4000 crore loan, subsidy to clear cane dues", Financial Express, 26
September 2018, available at https://www.financialexpress.com/industry/sweet-sour-up-offers-rs-4000-crore-
loan-subsidy-to-clear-cane-dues/1326772/ (last visited 25 February 2019).
29 See "Sweet & Sour: UP offers Rs 4000 crore loan, subsidy to clear cane dues", Financial Express, 26
September 2018, available at https://www.financialexpress.com/industry/sweet-sour-up-offers-rs-4000-crore-
loan-subsidy-to-clear-cane-dues/1326772/ (last visited 25 February 2019).
30 Including such support as mentioned in: "UP govt announces sops for sugar mills to clear farmers’
dues by Nov 30", United News of India, 25 September 2018, available at http://www.uniindia.com/~/up-govt-
announces-sops-for-sugar-mills-to-clear-farmers-dues-by-nov-30/States/news/1360778.html (last visited 25
February 2019); "Supplementary budget tabled by Yogi govt", The Pioneer, 28 August 2018, available at
https://www.dailypioneer.com/2018/state-editions/supplementary-budget-tabled-by-yogi-govt.html (last
visited 25 February 2019); Punjab govt. to pay sugarcane farmers, The Hindu, 5 December 2018, available at
https://www.thehindu.com/news/national/other-states/punjab-govt-to-pay-sugarcane-
farmers/article25674269.ece (last visited 25 February 2019); sugar- and sugarcane-related expenditures
mentioned in the Karnataka Monthly Programme Implementation Calendar (MPIC) for the month of December
2017 by the Commissioner for Cane Development & Director of Sugar, Government of Karnataka; sugar- and
sugarcane-related expenditures mentioned in the Annual Scheme 2018-2019 (Departmentwise) of the Finance
Department of the Government of Maharashtra; sugar- and sugarcane-related expenditures mentioned in the
Report of the Comptroller and Auditor General of India on State Finances, Government of Uttar Pradesh,
Report No. 1 of the year 2018.
31 Including, but not limited to, the following: Notifications issued by the Department of Agriculture,
Government of Maharashtra dated 17.03.2016, 16.07.2016, 14.10.2016, 03.02.2017, 17.02.2017,
16.03.2017, 30.03.2017, 06.05.2017, 26.09.2017, 26.10.2017, 27.10.2017, 09.11.2017, 15.11.2017,
12.02.2018, 20.02.2018, 12.03.2018, 15.03.2018, 28.03.2018, 26.06.2018, 24.01.2018; Order dated
24.08.2016 by the Department of Agriculture, Government of Tamil Nadu.
WT/DS579/1 • G/AG/GEN/151 • G/L/1298

III. Export Subsidies pertaining to Sugar and Sugarcane
12. The export subsidy measures and programs pertaining to sugar and sugarcane include, but
are not limited to, the following:
13. Federal-level export subsidies pertaining to sugar or sugarcane which make the provision of
financial support contingent upon export performance under, including but not limited to, the
following legal instruments:
a. "Raw Sugar Export Incentive Scheme " of the Ministry of Consumer Affairs, Food
& Public Distribution, Department of Food & Public Distribution, providing for
export subsidies for raw sugar;32
b. Subsidies for the production of sugarcane and sugar that are contingent upon
export performance including, but not limited to:
o Notification No. 20(43)/2015 -S.P.-I of the Ministry of Consumer Affairs,
Food & Public Distribution, Department of Food & Public Distribution of
2 December 2015, providing fo r a "Scheme for Extending Production
Subsidy" for the 2015/16 season;
o Notification No. 1(5)/2018-S.P.-I of the Ministry of Consumer Affairs, Food
& Public Distribution, Department of Food & Public Distribution of 9 May
2018, providing for a "Scheme for Ass istance to Sugar Mills " for the
2017/18 season, as amended;
o Notification No. 1(14)/2018 -S.P.-I of the Ministry of Consumer Affairs,
Food & Public Distribution, Department of Food & Public Distribution of
5 October 2018, providing for a "Scheme for Assistance to Sugar Mills" for
the 2018/19 season;
c. Subsidies for the maintenance of stocks for sugar that are contingent upon export
performance including, but not limited to:
o Notification No. 1(6)/2018-SP-I of the Ministry of Consumer Affairs, Food
& Public Distribution, Department of Food & Public Distribution of 15 June
2018, providing for a "Scheme for Creation and Maintenance of Buffer
Stock";
o Ministry of Consumer Affairs, Food & Public Distribution, Department of
Food & Public Distribution Order of 29 June 20 18, allocating 30 Lakh MT
of buffer stock;
o Notification No. 1(6)/2018-SP-I of the Ministry of Consumer Affairs, Food
& Public Distribution, Department of F ood & Public Distribution of
31 December 2018, providing for a change to the Scheme for Creation
and Maintenance of Buffer Stock;
d. Federal- and State-level export subsidies related to the transportation of sugar
including, but not limited to:
o Notification No. 1(14)/2018 -S.P.-I of the Ministry of Consumer Affairs,
Food & Public Distribution, Department of Food & Public Distribution of

32 "Sugar and Sugarcane Policy", Ministry of Consumer Affairs, Food and Public Distribution, Department
of Food and Public Distribution, available at https://dfpd.gov.in/sugar-sugarcane-policy.htm (last accessed 25
February 2019). See also "Direct subsidy to sugarcane growers" Cabinet Committee on Economic Affairs Press
Release, 18 November 2015, available at http://pib.nic.in/newsite/pmreleases.aspx?mincode=63 (last
accessed 25 February 2019).
WT/DS579/1 • G/AG/GEN/151 • G/L/1298

5 October 2018, providing for a transport subsidy for exports of sugar, as
amended;
o Circular No. TM/A/15 -22/33 of the Mumbai Port Trust of 18 December
2018, providing for concessional rates for demurrage on exports of sugar;
e. Duty-free Import Authorisation for raw sugar imported in the 2019/20 and
2020/21 seasons, for mills that have exported white/refined sugar during the
2017/18 season;33
f. Minimum Indicative Export Quotas ("MIEQ") that operate in conjunction with the
other measures identified in this paragraph 13 to require mills to export certain
quantities of sugar including, but not limited to:
o Notification No. 1(10)/2015-SP-I of the Ministry of Consumer Affairs, Food
& Public Distribution, Department of F ood & Public Distribution of
18 September 2015, allocating minimum indicative export quotas by
factory for the 2015/16 season;
o Notification No. 1(4)/2018-SP-I of the Ministry of Consumer Affairs, Food
& Public Distribution, Department of Food & Public Distribution of 28 March
2018, allocating minimum indicative export quotas by factory for the
2017/18 season;
o Notification No. 1(4)/2018-SP-I of the Ministry of Consumer Affairs, Food
& Public Distribution, Department of Food & Public Distribution of 9 May
2018, revising the allocation of minimum indicative export quotas for the
2017/18 season;
o Notification No. 1(4)/2018-SP-I of the Ministry of Consumer Affairs, Food
& Pub lic Distribution, Department of F ood & Public Distribution of
23 August 2018, amending Notification No. 1(4)/2018 -SP-I of 9 May
2018;
o Notification No. 1(4)/2018-SP-I of the Ministry of Consumer Affairs, Food
& Public Distribution, Department of F ood & Public Distribution of
23 September 2018 concerning the allocation of minimum indicative
export quotas for the season 2018-19;
o Notification No. 1(4)/2018-SP-I of the Ministry of Consumer Affairs, Food
& Public Distribution, Department of F ood & Public Dist ribution of
28 September 2018, allocating minimum indicative export quotas by
factory for the 2018/19 season;
o Notification No. 1(4)/2018-SP-I of the Ministry of Consumer Affairs, Food
and Public Distribution, Department of Food and Public Distribution,
communication to sugar mills of 12 October 2018;
o Notification No. 1(4)/2018-SP-I of the Ministry of Consumer Affairs, Food
& Public Distribution, Department of F ood & Public Distribution of
24 December 2018; and,
g. All other Federal-level instruments, including all successor instruments, and any
amendments thereto, providing Federal -level subsidies contingent on export

33 Ministry of Commerce and Industry, Department of Commerce, Directorate General of Foreign Trade
Notification No. 57/2015-2020 of 28 March 2018, referring to SION SI.No-E52, available at
http://dgft.gov.in/sites/default/files/Notification%20No.57.pdf and
http://dgft.gov.in/sites/default/files/CHAP04_1.pdf, respectively (last accessed 25 February 2019).
WT/DS579/1 • G/AG/GEN/151 • G/L/1298

performance during the 2014/15, 2015/16, 2016/17, 2017/18, 2018/19 seasons
and subsequent seasons.34
14. State-level export subsidies pertaining to su gar and sugarcane which make the provision of
financial support contingent upon export performance under, including but not limited to, the
following legal instruments:
a. Any subsidies contingent on export provided to producers of sugarcane and sugar
by the Indian States of Andhra Pradesh, Bihar, Gujarat, Haryana, Karnataka,
Madhya Pradesh, Maharashtra, Punjab, Tamil Nadu, Telangana, Uttarakhand, and
Uttar Pradesh;35,36 and,
b. All other State -level instruments, including all successor instruments, and any
amendments thereto, providing State -level subsidies contingent on export
performance during the 2014/15, 2015/16, 2016/17, 2017/18, 2018/19 seasons
and subsequent seasons.
15. In addition to the measures identified in paragraphs 13 to 14, the measures covered by this
request for consultations include any amendments to any of the measures listed in paragraphs 13
to 14, above, or related, successor, replacement or implementing measures thereto.
IV. Claims of Inconsistency Against the Domestic Support Measures
16. Brazil recalls that India did not schedule a domestic support reduction commitment level in
Section I of Part IV of its Schedule XII. Accordingly, under Article 6.4 of the Agreement on
Agriculture, India's product-specific domestic support for sugarcane is limited to a de minimis level
at or below 10 percent of the value of production. Brazil considers that the measures listed in Part
II (paragraphs 7 to 11, above) are inconsistent with India 's obligations under Articles 3.2, 6.3 and
7.2(b) of the Agreement on Agriculture because they provide domestic support for sugarcane in
excess of India's de minimis entitlement of 10 percent of the value of production.
V. Claims of Inconsistency Against the Export Subsidy Measures
17. Brazil further rec alls that India has not scheduled export subsidy reduction commitments
under Section II of Part IV of its Schedule XII pertaining to sugar or sugarcane that would permit it
to use export subsidies. Accordingly, India may not provide export subsidies pertai ning to sugar or
sugarcane. Brazil considers that the measures listed in Part III of this request for consultations
(paragraphs 13 to 15, above) provide export subsidies pertaining to sugar or sugarcane.
Accordingly, these measures are inconsistent with India 's export subsidy obligations under Articles
3.3, 8, 9.1 and 10.1 of the Agreement on Agriculture.
VI. Concluding Remarks
18. Brazil reserves the right to raise additional claims and measures and to address additional
legal and factual issues under other provisions of the covered agreements during the course of the
consultations.
19. My authorities look forward to receiving the reply of India to the present request and to
agreeing upon a mutually convenient date to hold consultations, with a view toward resolving this
dispute.