INDIA – MEASURES CONCERNING SUGAR AND SUGARCANE REQUEST FOR CONSULTATIONS BY GUATEMALA
Document: REQUEST FOR CONSULTATIONS BY
Date: 25 March 2019
Document codes: WT/DS581/1; G/AG/GEN/153; G/SCM/D125/1; G/L/1302
Complainant: Guatemala
Respondent: India
Third parties: Australia, Brazil, Canada, China, Colombia, Costa Rica, El Salvador, EU, 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  AgricultureArt. 3.1(a)  Subsidies and Countervailing Measures (SCM)

INDIA – MEASURES CONCERNING SUGAR AND SUGARCANE
REQUEST FOR CONSULTATIONS BY GUATEMALA
The following communication, dated 15 March 2019, from the delegation of Guatemala to the
delegation of India, is circulated to the Dispute Settlement Body in accordance with Article 4.4 of
the DSU.

My authorities have instructed me to request consultations with th e Government of India pursuant
to Article 4 of the Understanding on rules and procedures governing the settlement of disputes
("DSU"), Article 19 of the Agreement on Agriculture, Articles 4 and 30 of the Agreement on Subsidies
and Countervailing Measures ( "SCM Agreement"), and Article XXII of the General Agreement on
Tariffs and Trade 1994 ("GATT 1994") with respect to: (a) domestic support measures maintained
by India in favour of producers of sugarcane and sugar, and (b) export subsidies for sugarcane and
sugar.
I. Introduction
India maintains various domestic support measures in favour of sugarcane producers and sugar
producers, such as: (i) a system of administered prices for sugar cane which operates at the federal
level through the Fair and Remunerative Price ("FRP") and, in the case of certain states, at the state
level through the State Advised Price ("SAP"); (ii) a minimum selling price for sugar; and (iii)
additional measures that provide financial assistance to sugarcane producers which include
production subsidies provided to sugar mills to offset sugarcane price arrears, soft loans provided to
sugar mills to offset sugarcane price arrears, and subsidies to maintain buffer stocks.
India did not schedule domestic support reduction commitments in Section I of Part IV of its Schedule
of Concessions. Article 7.2(b) of the Agreement on Agriculture states that "[w]here no Total AMS
commitment exists in Part IV of a Member's Schedule, the Member shall not provide support to
agricultural producers in excess of the relevant de minimis level set out in paragraph 4 of Article 6".
According to Article 6.4(b), the de minimis level for developing countries, such as India, is 10 per
cent of the total value of production for the basic agricultural product in question. Guatemala
considers that India's domestic support measures, as described in section II of this request, are
inconsistent with India's obligations under Articles 3.2, 6.3, and Article 7.2(b) of the Agreement on
Agriculture as they exceed the de minimis level of 10 per cent provided for in Article 6.4(b) of the
Agreement on Agriculture.
In addition to domestic support measures, India provides export subsidies for sugarcane and sugar
which take the form of subsidies provided to sugar mills contingent on compliance with minimum
indicative export quotas ("MIEQs"), as well as subsidies to sugar mills for internal transport, freight,
handling and other charges to facilitate export freight support for exports.
India did not schedule export subsidy reduction commitments in Section II of Part IV of its Schedule
of Concessions. India, therefore, may not provide export subsidies to sugarcane or sugar. Guatemala
considers that India's measures described in section III of this request are thus inconsistent with
India's obligations under Articles 3.3, 8, 9.1, and 10.1 of the Agreement on Agriculture and Article 3
of the SCM Agreement.
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II. Domestic support measures in favour of producers of sugarcane and sugar
Pursuant to Article 4.4 of the DSU, Guatemala identifies below the measures through which India
provides domestic support in favour of producers of sugarcane and sugar, and which are subject to
this request for consultations. The measures at issue include the following, as well as any
amendments, related, successor, replacement or implementing measures thereto:
1. Federal-level domestic support for sugarcane in the form of a federal administered price, the
"Fair and Remunerative Price" ("FRP"), which is fixed by the Federal Government and paid by
sugar mills to sugarcane farmers as reflected in, but not limited to, the instruments and
documents identified in paragraph 1 of Annex A to this request.
2. State-level domestic support for sugarcane in the form of a state administered price, the "State
Advised Price" ("SAP"), which is fixed by some Indian States and paid by sugar mills located in
that State to sugarcane farmers in that State as reflected in, but not limited to, the instruments
and documents identified in paragraph 2 of Annex A to this request.
3. Federal-level domestic support for sugarcane in the form of a minimum mandatory selling price
for sugar that Indian sugar mills are required to charge for the sale of sugar in India as reflected
in, but not limited to, the instrume nts and documents identified in paragrap h 3 of Annex A to
this request.
4. Federal-level domestic support for sugarcane, in the form of production -based assistance to
offset sugarcane price arrears , involving budgetary outlays and/or other measures to support
the production of, and the set of prices for, sugarcane and sugar, as a result of, but not limited
to, the instruments and documents identified in paragraph 4 of Annex A to this request.
5. Federal-level programs and measures making available subsidised loan s to offset sugarcane
price arrears to support the production of, and the set of prices for, sugarcane and sugar, as a
result of, but not limited to, the instruments and documents identified in paragraph 5 of Annex
A to this request.
6. Federal and state -level measures providing financial assistance towards the maintenance of
stocks for sugar, including budgetary outlays and/or other measures to offset cost of sugarcane
and support sugarcane price, as reflected in but not limited to, the instruments and documents
identified in paragraph 6 of Annex A to this request.
7. Other state -level domestic support for sugarcane and sugar including assistance subsidies,
production subsidies, low-interest loans, and exemption of purchase taxes as reflected in, but
not limited to, the instruments and documents identified in paragraph 7 of Annex A to this
request.
III. Export Subsidies for Sugar and Sugarcane
Pursuant to Article 4.4 of the DSU, Guatemala identifies below the measures through which India
provides export subsidies for sugarcane and sugar, and which are subject to this request for
consultations. The measures at issue include the following, as well as any amendments, related,
successor, replacement or implementing measures thereto:
8. Federal-level measures whi ch provide subsidies to sugarcane and sugar producers contingent
upon export performance, including, but not limited to, the instruments identified in paragraph
8 of Annex A to this request.
9. State-level export subsidies for sugarcane and sugar, which make the provision of financial
support to sugar mills contingent upon export performance including, but not limited to, the
instruments and subsidies identified in paragraph 9 of Annex A to this request.
10. Federal-level assistance and export incentives , includi ng but not limited to the instruments
identified in paragraph 10 of Annex A to this request.
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11. Freight assistance, including under the Sugar Development Fund (SDF) Rules rule 20A,1 as well
as but not limited to the instruments identified in paragraph 11 of Annex A to this request.
IV. Legal basis for Guatemala's complaint
Guatemala considers that the measures identified in paragraphs 1 – 7 above and in paragraphs 1 –
7 of Annex A, appea r to be inconsistent with Articles 3.2, 6.3 and 7.2(b) of the Agreement on
Agriculture because they provide product -specific domestic support for sugarcane in excess of the
10 per cent de minimis level. Guatemala notes that India did not schedule domestic support
reduction commitments in Section I of Part IV of its Schedule of Concessions and, therefore, pursuant
to Article 6.4 of the Agreement on Agriculture, India's domestic support measures may not exceed
the 10 per cent de minimis level.
Guatemala considers that the measures identified in paragraphs 8 – 11 above and in paragraphs 8
– 11 of Annex A, provide export subsidies that appear to be inconsistent with Articles 3.3, 8, 9.1,
and 10.1 of the Agreement on Agriculture. Guatemala notes that India did no t schedule export
subsidy reduction commitments in Section II of Part IV of its Schedule of Concessions. Accordingly,
India may not provide export subsidies for sugar or sugarcane. The measures identified in
paragraphs 8 – 11 above constitute export subsidies that also appear to be inconsistent with India's
obligations under Article 3 of the SCM Agreement. Pursuant to Article 4.2 of the SCM Agreement,
Guatemala presents a statement of available evidence in Annex B to this request.
Guatemala reserves the rig ht to raise additional claims and measures, and to address additional
legal and factual issues under the provisions of the covered agreements during the course of the
consultations.
Guatemala looks forward to receiving India's reply to the present request to fix a mutually convenient
date for consultations, with a view toward resolving this dispute.

1 Reflected in Ministry of Consumer Affairs, Food and Public Distribution, Department of Food & Public
Distribution, Sugar Development Fund (Second Amendment) Rules 2007, Notification G.S.R. 697(E) of
7 November 2007.
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ANNEX A
LIST OF INSTRUMENTS AND DOCUMENTS CONTAINING
THE MEASURES AT ISSUE
1. Federal-level domestic support for sugarcane in the form of a federal administered price, the
"Fair and Remunerative Price" ("FRP"), which is fixed by the Federal Government and paid
by sugar mills to sugarcane farmers as reflected in, but not limited to, the following
instruments and documents:
a) Sections 3 and 7 of the Essential Commodities Act, 1955, as amended;
b) Sections 3, 3A, 4, 4A, 5 and 11 of the Sugarcane (Control) Order, 1966, as amended;
c) Communications fixing the FRP for sugarcane, including but not limited to:
i. Ministry of Consumer Affairs, Food & Public Distribution, Communication
"Cabinet approves determination of Fair and Remunerative Price payable by
Sugar Mills for 2018 -2019 sugar Season" of 18 July 2018 announcing the FRP
for sugarcane to be paid by sugar mills for sugar season 2018-2019;2
ii. Ministry of Consumer Affairs, Food & Public Distribution, Department of Food &
Public Distribution, Communication No. 3(3)/2016 -SP.II of 1 June 2017 ,
announcing the FRP for sugarcane to be paid by sugar mills for sugar sea son
2017-2018;
iii. Ministry of Consumer Affairs, Food & Public Distribution, Department of Food &
Public Distribution, Communication No. 3(7)/2015 -SP.I of 12 April 2016 ,
announcing the FRP for sugarcane to be paid by sugar mills for sugar season
2016-2017;
iv. Ministry of Consumer Affairs, Food & Public Distribution, Department of Food &
Public Distribution, Communication No. 3(1)/2014 -SP.II of 2 February 2015 ,
announcing the FRP for sugarcane to be paid by sugar mills for sugar season
2015-2016;
v. Ministry of Consumer Affairs, Food & Public Distribution, Department of Food &
Public Distribution, Communication No. 3(3)/2013 -SP.II of 14 February 2014 ,
announcing the FRP for sugarcane to be paid by sugar mills for sugar season
2014-2015; and
vi. All other federal govern ment communications, instruments, documents,
successor instruments and documents, and any amendments thereto that
provide for a FRP for sugarcane for sugar seasons 2014-2015, 2015-2016, 2016-
2017; 2017-2018, 2018-2019 and subsequent sugar seasons.
d) All Noti fications fixing the FRP to be paid for sugarcane on a mill -specific basis,
including but not limited to:
i. Ministry of Consumer Affairs, Food & Public Distribution, Department of Food &
Public Distribution, Notification G.S.R. 1205(E) of 27 September 2017, fixing the
FRP for sugarcane on a mill-specific basis for sugar season 2016-2017;

2 See Press Information Bureau, Government of India, Cabinet Committee on Economic Affairs, "Cabinet
approves comprehensive policy to deal with excess sugar production in the cou ntry", 26 September 2018,
available at http://www.pib.nic.in/Pressreleaseshare.aspx?PRID=1539078, (last visited 11 March 2019).
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ii. Ministry of Consumer Affairs, Food & Public Distribution, Department of Food &
Public Distribution, Notification G.S.R. 1204(E) of 27 September 2017, fixing the
FRP for sugarcane on a mill-specific basis for sugar season 2015-2016;
iii. Ministry of Consumer Affairs, Food & Public Distribution, Department of Food &
Public Distribution, Notification G.S.R. 142(E) of 17 February 2017 , fixing the
FRP for sugarcane on a mill-specific basis for sugar season 2015-2016;
iv. Ministry of Consumer Affairs, Food & Public Distribution, Department of Food &
Public Distribution, Notification G.S.R. 932(E) of 30 September 2016, fixing the
FRP for sugarcane on a mill-specific basis for sugar season 2015-2016;
v. Ministry of Consumer Affairs, Food & Public Distribution, Department of Food &
Public Distribution Notification G.S.R. 195(E) of 28 February 2018, fixing the FRP
for sugarcane on a mill-specific basis for sugar season 2014-2015;
vi. Ministry of Consumer Affairs, Food & Public Distribution, Department of Food &
Public Distribution, Notification G.S.R. 752(E) of 1 October 2015, fixing the FRP
for sugarcane on a mill-specific basis for sugar season 2014-2015; and
vii. All other Notifications and other instruments or documents, including successor
instruments and documents, and any amendments thereto, fixing the FRP for
sugarcane on a mill -specific basis for sugar seasons 2014 -2015, 2015-2016,
2016-2017, 2017-2018, 2018-2019 and subsequent sugar seasons.
2. State-level domestic support for sugarcane in the form of a state administered price, the
"State Advised Price" ("SAP"), which is fixed by some Indian States and paid by sugar mills
located in that State to sugarcane farmers in that State as reflected in, but not limited to,
the following instruments and documents:
a) Andhra Pradesh:
i. The SAP for Andhra Pradesh for sugar season 2016-2017;3
ii. The SAP for Andhra Pradesh for sugar season 2015-2016;4 and
iii. The SAP for Andhra Pradesh for sugar season 2014-2015.5
b) Bihar:
i. The Bihar Sugarcane (Regulation of Supply and Purchase) Act , 1981, as
amended;
ii. The State Advised Price in Bihar for sugar season 2017-2018;6
iii. The State Advised Price in Bihar for sugar season 2016-2017;7

3 See Commission for Agricultural Costs and Prices (CACP), Department of Agriculture, Cooperation and
Farmers Welfare, Ministry of Agriculture and Farmers Welfare, Government of India, Price Policy for Sugarcane
2018-2019 sugar season of August 2017, available at:
 http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622, p. 57 (last visited
28 February 2019).
4 Ibid.
5 Ibid.
6 See Commission for Agricultural Costs and Prices (CACP), Department of Agriculture, Cooperation and
Farmers Welfare, Ministry of Agriculture and Farmers Welfare, Government of India, Price Policy for Sugarcane
2018-2019 sugar season of August 2017, available at:
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622, p. 57 (last
visited 11 March 2019).
7 Ibid.
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iv. The State Advised Price in Bihar for sugar season 2015-2016;8 and
v. The State Advised Price in Bihar for sugar season 2014-2015.9
c) Gujarat: all State-level legal or administrative instruments, acts or otherwise of the
State of Gujarat that provide, regulate or amend SAPs for sugarcane that are higher
than the FRP for sugarcane during sugar seasons 2014 -2015, 2015-2016, 2016-
2017, 2017-2018, 2018-2019 and subsequent sugar seasons.
d) Haryana:
i. The Punjab Sugarcane (Regulation of Purchase and Supply) Act , 1953, as
amended, as it applies to the State of Haryana;
ii. The Haryana Sugarcane (Regulation of Supply and Purchase) Rules , 1992, as
amended;
iii. The State Advised Price in Haryana for sugar season 2018-2019;10
iv. The State Advised Price in Haryana for sugar season 2017-2018;11
v. The State Advised Price in Haryana for sugar season 2016-2017;12
vi. The State Advised Price in Haryana for sugar season 2015-2016;13 and
vii. The State Advised Price in Haryana for sugar season 2014-2015.14
e) Karnataka:
i. The Karnataka Sugarcane (Regulation of Purchase and Supply) Act , 2013, as
amended; and
ii. All State-level legal or administrative instruments, acts or otherwise of the State
of Karnataka that provide, regulate or amend SAPs for sugarcane that are higher
than the FRP for sugarcane during sugar seasons 2014-2015, 2015-2016, 2016-
2017, 2017-2018, 2018-2019 and subsequent sugar seasons.
f) Madhya Pradesh: all State -level legal or administrative instruments, acts or
otherwise of the State of Madhya Pradesh that provide, regulate or amend SAPs for
sugarcane that are higher than the FRP for sugarcane durin g sugar seasons 2014-
2015, 2015 -2016, 2016 -2017, 2017 -2018, 2018 -2019 and subsequent sugar
seasons.
g) Maharashtra:
i. The Essential Commodities (Maharashtra Amendment) Act, 1975, as amended;

8 Ibid.
9 Ibid.
10 See "Haryana Government raises the price by ten rupees pe r 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 1 March 2019).
11 See "Sugar mills start crushing sugarcane", Haryanaabtak 3 November 2017, available at
http://haryanaabtak.com/featured/palwal-haryana-03-november-report/ (last visited 11 March 2019).
12 See Commission for Agricultural Costs and Prices (CACP), Department of Agriculture, Cooperation and
Farmers Welfare, Ministry of Agriculture and Farmers Welfare, Government of India, Price Policy for Sugarcane
2018-2019 sugar season of August 2017, available at:
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622, p. 57 (last
visited 11 March 2019).
13 Ibid.
14 Ibid.
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ii. The Maharashtra Regulation of Sugarcane Price (Supplied to Factories) Act,
2013, as amended; and
iii. All State-level legal or administrative instruments, acts or otherwise of the State
of Maharashtra that provide, regulate or amend SAPs for sugarcane that are
higher than the FRP for sugarcane during sugar seasons 2014-2015, 2015-2016,
2016-2017, 2017-2018, 2018-2019 and subsequent sugar seasons.
h) Punjab:
i. The Punjab Sugarcane (Regulation of Purchase and Supply) Act , 1953, as
amended;
ii. The Punjab Sugarcane (Regulation of Purchase and Supply) Rules , 1958, as
amended;
iii. The State Advised Price in Punjab for the 2016-2017 season;15
iv. The State Advised Price in Punjab for the 2015-2016 season;16 and
v. The State Advised Price in Punjab for the 2014-2015 season.17
i) Tamil Nadu:
i. The Tamil Nadu Sugarcane (Regulation of Purchase Price) Act, 2018;
ii. Department of the Government of Tamil Nadu, Agriculture (S1) Department,
Order G.O.(Ms). No. 228 of 11 September 2018, providing the date of entry into
force of the Tamil Nadu Sugarcane (Regulation of Purchase Price) Act, 2018;
iii. Department of the Government of Tamil Nadu, Agriculture (S1) Department,
Order G.O.(Ms). No. 20 of 5 January 2017 , announcing the State Advised Price
for sugarcane to be paid by sugar mills in Tamil Nadu for sugar season 2016 -
2017;
iv. Department of the Government of Tamil Nadu, Agricult ure (S1) Department,
Order G.O.(Ms). No. 20 of 11 January 2016, announcing the State Advised Price
for sugarcane to be paid by sugar mills in Tamil Nadu for sugar season 2015 -
2016; and
v. Department of the Government of Tamil Nadu, Agriculture (S1) Department ,
Order G.O.(Ms). No. 15 of 14 January 2015, announcing the State Advised Price
for sugarcane to be paid by sugar mills in Tamil Nadu for sugar season 2014 -
2015.
j) Telangana:
i. The State Advised Price in Telangana for the 2015-2016 season;18 and

15 See Commission for Agricultural Costs and Prices (CACP), Department of Agriculture, Cooperation and
Farmers Welfare, Ministry of Agriculture and Farmers Welfare, Government of India, Price Policy for Sugarcane
2018-2019 sugar season of August 2017, available at:
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622, p. 57 (last
visited 11 March 2019).
16 Ibid.
17 Ibid.
18 See Commission for Agricultural Costs and Prices (CACP), Department of Agriculture, Cooperation and
Farmers Welfare, Ministry of Agriculture and Farmers Welfare, Government of India, Price Policy for Sugarcane
2018-2019 sugar season of August 2017, available at:
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622, p. 58 (last
visited 11 March 2019).
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ii. The State Advised Price in Telangana for the 2014-2015 season.19
k) Uttrarakhand:
i. The State Advised Price in Uttarakhand for sugar season 2018-2019;20
ii. The State Advised Price in Uttarakhand for sugar season 2017-2018;21
iii. The State Advised Price in Uttarakhand for sugar season 2016-2017;22
iv. The State Advised Price in Uttarakhand for sugar season 2015-2016;23 and
v. The State Advised Price in Uttarakhand for sugar season 2014-2015.24
l) Uttar Pradesh:
i. The Uttar Pradesh Sugarcane (Regulation of Supply & Purchase) Act , 1953, as
amended;
ii. The State Advised Price in Uttar Pradesh for the 2018-2019 season;25
iii. Government of Uttar Pradesh, Sugar Industry Section -3, Notification
No. 2489/46-3-17-3(48)/98-99 of 26 October 2017, establishing a SAP for the
sugar season 2017-2018;
iv. The State Advised Price in Uttar Pradesh for sugar season 2016-2017;26
v. The State Advised Price in Uttar Pradesh for sugar season 2015-2016;27 and
vi. The State Advised Price in Uttar Pradesh for sugar season 2014-2015.28
vii. All State -level legal or administrative instruments, acts, or otherwise of the
above-mentioned Indian States or of any other Indian State that provide,
regulate or amend SAPs for sugarcane that are higher than the FRP for
sugarcane during sugar seasons 2014 -2015, 2015 -2016, 2016 -2017, 2017 -
2018, 2018-2019 and subsequent sugar seasons.

19 Ibid.
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 1 March 2019).
21 Ibid.
22 See Commission for Agricultural Costs and Prices (CACP), Department of Agriculture, Cooperation and
Farmers Welfare, Ministry of Agriculture and Farmers Welfare, Government of India, Price Policy for Sugarcane
2018-19 sugar season of August 2017, available at:
 http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622, p. 58 (last
visited 11 March 2019).
23 Ibid.
24 Ibid.
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 11 March 2019).
26 See Commission for Agricultural Costs and Prices (CACP), Department of Agriculture, Cooperation and
Farmers Welfare, Ministry of Agriculture and Farmers Welfare, Government of India, Price Policy for Sugarcane
2018-2019 sugar season of August 2017, available at:
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622, p. 58 (last
visited 11 March 2019).
27 Ibid.
28 Ibid.
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3. Federal-level domestic support for sugarcane in the form of a minimum mandatory selling
price for sugar that Indian sugar mills are required to charge for the sale of sugar in India
as reflected in, but not limited to, the following instruments and documents:
a) Section 3 of the Essential Commodities Act, 1955, as amended;
b) Sugar Price (Control) Order, 1966, as amended;
c) Sections 3 and 7 of the Sugar Price (Control) Order, 2018, as amended;
d) All instruments, acts or otherwise that fix a minimum price for the sale of sugar in
India, including, but not limited to:
i. Ministry of Consumer Affairs, Food & Public Distribution, Department of Food &
Public Distribution, Order S.O.874(E) of 14 February 2019 , fixing a minimum
selling price for sugar; and
ii. Ministry of Consumer Affairs, Food & Public Distribution, Department of Food &
Public Distribution, Order S.O.2346(E) of 7 June 2018, fixing a minimum selling
price for sugar.
e) All instruments, acts, or otherwise that provide, regulate or amend a minimum
selling price for sugar for sugar seasons 2014-2015, 2015-2016, 2016-2017, 2017-
2018, 2018-2019 and subsequent sugar seasons.
4. Federal-level domestic support for sugarcane, in the form of production-based assistance to
offset sugarcane price arre ars, involving budgetary outlays and/or other measures to
support the production of, and the set of prices for, sugarcane and sugar, as a result of, but
not limited to, but not limited to, the following instruments and documents:
a) "Scheme for Assistance to Sugar Mills" for the 2018-2019 sugar season, 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;
b) "Scheme for Assistance to Sugar Mills" for the 2017-2018 sugar season (INR 55/ton
(INR 5.5/qtl), 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,
and Notification No. 1(5)/2018-S.P.-I of 16 August 2018;29
c) Production subsidy for the 2016 -2017 sugar season to sugar mills to offset cost of
cane and support cane price;30
d) Production Subsidy Scheme for the 2015 -2016 sugar season, Notification
No. 20(43)/2015-S.P.-1 of the Ministry of Consumer Affairs, Food & P ublic
Distribution, Department of Food & Public Distribution, of 2 December 2015,

29 Reflected in Ministry of Consumer Affairs Press Release, ''Sugar Industry', 31 July 2018: "Provided
Assistance to sugar mills @Rs.5.50/quintal of cane crushed for sugar season 2017-18 to offset the cost of cane
amounting to about Rs.1540 crore".
30 Reflected in Ministry of Consumer Affairs, Food and 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 Ye ar 2016 -17: Budget Estimates [INR] 950.01 [in crores]";
Ministry of Consumer Affairs, Food and 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 and 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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providing cash grants of INR 45/ton (INR 4.5/qtl) of cane crushed to pay farmers,
via the Sugar Development Fund (SDF);31
e) Production Subsidy Scheme for the 2014 -2015 sugar season providing cash grants
to pay farmers paid directly to farmers on behalf of mills.
f) All other instruments, successor instruments and any amendments thereto providing
for production-based assistance to sugar or sugarcane for the 2014 -2015, 2015-
2016, 2016-2017 2017-2018, 2018-2019 seasons and subsequent seasons.
5. Federal-level programs and measures making available subsidised loans to offset sugarcane
price arrears to support the production of, and the set of prices for, sugarcane and sugar,
as a result of, but not limited to, the following instruments and documents:
a) Federal-level Soft Loan for 2014 -2015, making loans available to sugar mills to
facilitate clearance of cane price arrears and support the cane price, with subvention
of interest by the Government of India up to 10 per cent, with a 1 -year
moratorium,32 including through:
i. Notification No. 1(5)/2015 -S.P. -I of the Ministry of Consumer Affairs, Food &
Public Distribution, Department of Food & Public Distribution of 23 June 2015;
ii. Notification No. 1(7)/2015-S.P. -I of the Ministry of Consumer Affairs, Food and
Public Distribution, Department of Food & Public Distribution of 1 August 2015;
iii. Notification No. 1(7)/2015-S.P. -I of the Ministry of Consumer Affairs, Food and
Public Distribution, Department of Food & Public Distribution of 5 October 2015;
b) "Scheme for Extending Financial Assistance to Sugar Undertakings, 2014",
Notification No. 20-90/2013-SP.-II of the Ministry of Consumer Affairs, Food & Public
Distribution, Department of Food & Public Distribution of 3 January 2014;
c) Any loans granted at subsidised rates under Sections 4 and 5 of the Sugar
Development Fund Act, 1982, as amended, and the Sugar Development Fund Rules,
1983, as amended.
d) All other instruments, successor instruments and any am endment thereto at the
federal level that provide for loans to sugar or sugarcane producers at subsidized
rates to offset cane price arrears, for the 2014-2015, 2015-2016, 2016-2017, 2017-
2018, 2018-2019 seasons and subsequent seasons.
6. Federal and state-level measures providing financial assistance towards the maintenance of
stocks for sugar , including budgetary outlays and/or other measures to offset cost of
sugarcane and support sugarcane price, as reflected in but not limited to, the following
instruments and documents:

31 Including disbursements made to September 2016 and beyond, referred to on Department of Food &
Public Distribution web site, "Production subsidy: Since the production subsidy scheme was withdrawn befor e
time, the Central Government has decided to disburse the performance based production subsidy for cane
crushed during 2015-16 sugar season till the tenancy of the scheme vide notification dated 12.09.2016. Under
the scheme, so far Rs. 520 crores have been disbursed as production subsidy to 213 sugar mills…", available at
https://dfpd.gov.in/sugar.htm (last visited 11 March 2019). See also Notification 20(43)/2015 -S.P.-1 of the
Ministry of Consumer Affairs, Foo d & Public Distribution, Department of Food & Public Distribution, of 19 May
2016.
32 Reflected in ''Direct subsidy to sugarcane growers', Cabinet Committee on Economic Affairs (CCEA)
Press Release, 18 November 2015, "To further help the industry clear cane dues arrears, the Government has
disbursed soft loans to the extent of Rs. 4,047 crore. To ensure that farmers are paid their dues expeditiously,
the financial assistance has been passed on directly to the cane growers by the banks after obtaining the lis t
from the mills. Furthermore, the Government has provided one year moratorium on this loan, and will bear the
interest subvention cost to the extent of Rs. 600 crore for the said period."
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a) Sugar (Control) Order 1966, clause 5, directing quantities that may be held by
dealers of sugar;
b) Order F. No. 5-1/2018-Sugar Control of Ministry of Consumer Affairs, Food & Public
Distribution of 31 January 2019;
c) Notification No. 1(6)/2018-SP-I of the Ministry of Consumer Affairs, Food & Public
Distribution, Department of Food & Public Distribution of 31 December 2018
notifying a change to the Scheme for Creation and Maintenance of Buffer Stock;
d) Order F. No. 5-1/2018-Sugar Control of Ministry of Consumer Affairs, Food & Public
Distribution of 28 December 2018;
e) Order F. No. 5-1/2018-Sugar Control of Ministry of Consumer Affairs, Food & Public
Distribution of 30 November 2018;
f) Order F. No. 5-1/2018-Sugar Control of Ministry of Consumer Affairs, Food & Public
Distribution of 31 October 2018;
g) Order F. No. 5-1/2018-Sugar Control of Ministry of Consumer Affairs, Food & Public
Distribution of 28 September 2018;
h) Order F. No. 5-1/2018-Sugar Control of Ministry of Consumer Affairs, Food & Public
Distribution of 31 August 2018;
i) Order F. No. 5-1/2018-Sugar Control of Ministry of Consumer Affairs, Food & Public
Distribution of 30 July 2018;
j) Order of Ministry of Consumer Affairs, Food & Public Distribution of 29 June 2018,
allocating of 30 Lakh MT (3 million metric tons) of buffer stock;
k) 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;
l) Order F. No. 5-1/2018-Sugar Control of Ministry of Consumer Affairs, Food & Public
Distribution of 7 June 2018;
m) Order F. No. 1(2)/2018 -S.P.-1 Ministry of Consumer Affairs, Food & Public
Distribution of 8 February 2018;
n) Order G.S.R.1069(E), F. No. 1(6)/2016-S.P.-1 of Ministry of Consumer Affairs, Food
& Public Distribution of 28 August 2017;
o) Order S.O.3348(E) of the Ministry of Consumer Affairs, Food & Public Distribution,
Department of Food & Public Distribution of 28 October 2016;
p) Order F. No. 1(6)/2016 -S.P.-1 of Ministry of Consumer Affairs, Food & Public
Distribution of 8 September 2016;
q) Order G.S.R. 471(E) of Ministry of Consumer Affairs, Food & Public Distribution of
29 April 2016;
r) Various forms of assistance subsidies, subsidised loans and other subsidies
specifically provided to producers of sugarcane and sugar for the maintenance of
buffer stocks by the Indian states of Andhra Pradesh, Bihar, Gujarat, Haryana,
Karnataka, Madhya Pradesh, Maharashtra, Punjab, Tamil Nadu, Telangana, Uttar
Pradesh, and Uttarakhand; and
s) All other instruments, including all successor inst ruments and any amendments
thereto, providing product -specific domestic support for sugarcane through non -
WT/DS581/1 • G/AG/GEN/153 • G/SCM/D125/1 • G/L/1302

exempt direct payments or any other subsidy not exempted from reduction
commitments whether provided by the federal government or any of the individua l
states, for the 2014-2015, 2015-2016, 2016-2017, 2017-2018, 2018-2019 seasons
and subsequent seasons.
7. Other state-level domestic support for sugarcane and sugar including assistance subsidies,
production subsidies, low -interest loans, and exemption of pu rchase taxes as reflected in,
but not limited to, the following instruments and documents:
a) Bihar:
i. The Chief Ministers Sugarcane Development Scheme in the State of Bihar which
provides subsidies for the purchase and transportation of registered seed of
sugarcane for sugar season 2017-2018;
ii. Department of Industrial Unit, Government of Bihar, Notification of 17 May 2018,
reducing the rate of commission to be paid by sugar mills on the purchase of
sugarcane for sugar season 2017-2018;
iii. Department of Industrial Unit, Government of Bihar, Notification of 17 May 2018,
exempting sugar mills from payments of certain taxes for sugar season 2017 -
2018; and
iv. Department of Industrial Unit, Government of Bihar, Notification of 2 August
2017, reducing the rate of commission to be paid by sugar mills on the purchase
of sugarcane for sugar season 2016-2017.
b) Gujarat:
i. Government of Gujarat, Scheme-1-180618 of the Sugar Regulatory Authority ,
providing for liquidity support to sugar cooperatives for sugar season 2018 -
2019;
ii. Government of Gujarat, Scheme-3-180618 of the Sugar Regulatory Authority ,
providing funds to sugar mills for sugar season 2018-2019; and
iii. Government of Gujarat, Scheme-4-180618 of the Sugar Regulatory Authority ,
providing for a liquidity support loan to sugar mills for sugar season 2018-2019.
c) Haryana: Haryana financial assistance (subsidy and soft loans) of INR 16 per
quintal.33
d) Maharashtra:
i. Government of Maharashtra, Finance Department, Notification No. SCPT -
1117/CR-03/Taxation-3 of 19 April 2017 , exempting sugar fac tories from
payments of certain taxes for sugar season 2016-2017;
ii. Government of Maharashtra, Department of Agriculture, Notification of
16 November 2016, providing for a soft loan scheme for sugarcane farmers in
the State of Maharashtra;

33 "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 11 March 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 11 March 2019).
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iii. Funds provided by the State of Maharashtra in connection with drip and micro
irrigation of sugarcane, including but not limited to:
▪ Government of Maharashtra, Department of Agriculture, Notification of
12 September 2018;
▪ Government of Maharashtra, Department of Agriculture, Notification of
31 July 2018;
▪ Government of Maharashtra, Department of Agriculture, Notification of
24 July 2017; and
▪ Government of Maharashtra, Department of Agriculture, Notification of
6 October 2016.
e) Tamil Nadu:
i. Government of Tamil Nadu, Agriculture (S1) Department, Order G.O.(Ms).
No.230 of 17 September 2018 , providing for payments to offset the difference
between the SAP and the federal FRP for sugar season 2017-2018 season; and
ii. Government of Tamil Nadu, Agriculture (S1) Department, Order G.O.(Ms).
No.191 of 24 July 2018, providing for payments to offset the difference between
the SAP and the federal FRP for sugar season 2017-2018.
f) Uttar Pradesh:
i. Government of Uttar Pradesh, Sugar Industrial Unit, Notification of 21 March
2018, providing for funds for drip irrigation during the 2016-2017 season;
ii. Below-market loans to farmers in Uttar Pradesh, announced 26 September
2018;34
iii. Production subsidy for sugar mills in Uttar Pradesh of INR 4.5 per quintal.35
iv. Government of Uttar Pradesh, Cane Development & Sugar Industry, Notification
of 15 November 2017, waiving the guarantee fee payable by certain sugar mills
on government guarantees;
v. Government of Uttar Pradesh, Sugar Industrial Unit, Notification of
24 September 2015 , providing for a scheme for easing dues on sugarcane
farmers for sugar season 2014-2015; and
vi. Waiver of interest and/or penalties on late payment by millers to fa rmers for
sugarcane.36
vii. Any funds provided by Indian States and the Federal Government in relation to
sugarcane under the Krishonnati Yojana Scheme;37 and

34 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 11 March 2019).
35 See "Sweet & Sour: UP offers Rs 4000 crore loan, subsidy to clear cane dues", Fin ancial 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 11 March 2019).
36 See "Akhilesh Yadav government waives sugarcane mill owners dues", The Indian Express, 4 October
2016, available at:
 https://indianexpress.com/article/india/india-newsindia/akhilesh-yadav-government-waives-sugarcane-mill-
owners-dues-3064292/ (last visited 11 March 2019).
37 Including, but not limited to, the following: Notifications issued by the Department of Agricu lture,
Government of Maharashtra dated 17.03.2016, 16.07.2016, 14.10.2016, 03.02.2017, 17.02.2017, 16.03.2017,
WT/DS581/1 • G/AG/GEN/153 • G/SCM/D125/1 • G/L/1302

viii. All other Federal -level or State -level instruments, including all subsequent
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 provided by the Federal
government or any of the individual States during sugar seasons 2014-2015,
2015-2016, 2016-2017, 2017-2018, 2018-2019 and subsequent seasons.
8. Federal-level measures which provide subsidies to sugarcane and sugar producers
contingent upon export performance, as reflected in, but not limited to, the following
instruments:
a) Minimum Indicative Export Quotas ("MIEQ") that operate in conjunction with the
other measures identified in this paragraph to require mills to export certain
quantities of sugar as a condition for the grant or maintenance of a subsidy. The
instruments establishing the MIEQ arrangements require that sugar mills which fail
to export the MIEQ allocated to them shall be deemed to be violating the directives
of the Government issued under clause 5 of the Sugar (Control) Order, 1966.
Instruments establi shing or evidencing MIEQ arrangements include, but are not
limited to, the following:
i. Notification No. 1(4)/2018 -SP-I of the Ministry of Consumer Affairs, Food &
Public Distribution, Department of Food & Public Distribution of 24 December
2018;
ii. 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;
iii. Notification No. 1(4)/2018 -SP-I of the Ministry of Consumer Affairs, Food &
Public Distribution, Department of Food & Public Distribution of 28 September
2018, which allocates factory -wise minimum indicative export quotas for the
2018-2019 season;
iv. Notification No. 1(4)/2018 -SP-I of the Ministry of Consumer Affairs, Food &
Public Distribution, Department of Food & Public Distribution of 23 September
2018 concerning the allocation of minimum indicative export quotas for the
2018-2019 season;
v. Notification No. 1(4)/2018 -SP-I of the Ministry of Consumer Affairs, Food &
Public Distribution, Department of Food & Public Distribution of 23 August 2018,
which makes certain amendments to Notification No. 1(4)/2018 -SP-I of 9 May
2018;
vi. Notification No. 1(4)/2018 -SP-I of the Ministry of Consumer Affairs, Food &
Public Distribution, Department o f Food & Public Distribution of 9 May 2018,
which revises the allocation of minimum indicative export quotas for the 2017 -
2018 season;
vii. 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,
which allocates factory -wise minimum indicative export quotas for the 2017 -
2018 season;

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, 2 6.06.2018, 24.01.2018; Order dated 24.08.2016 by the
Department of Agriculture, Government of Tamil Nadu. See also "Rs 33,000 crore boost to agriculture: Here's
how Modi plans to double farmers' income by 2022", Financial Express, 3 May 2018, available at:
https://www.financialexpress.com/economy/rs-33000-crore-boost-to-agriculture-heres-how-modi-plans-to-
double-farmers-income-by-2022/1154180/ (last visited 11 March 2019).
WT/DS581/1 • G/AG/GEN/153 • G/SCM/D125/1 • G/L/1302

viii. Cabinet Committee on Economic Affairs (CCEA) Press Release of 18 November
2015;
ix. Order F. No. 1(10)/2015-SP-1 of Ministry of Consumer Affairs, Food and Public
Distribution, Department of Food and Public Distribution, communication to
sugar mills, of 18 September 2015;
b) "Scheme for Assistance to Sugar Mills", reflected in:
i. for the sugar season 2018 -2019, 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;
ii. Notification No. 1(5)/2018 -S.P.-I of the Ministry of Consumer Affairs, Food &
Public Distribution, Department of Food & Public Distribution of 16 August 2018;
iii. for the season 2017 -2018, 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;
c) Production Subsidy Scheme for the sugar seas on 2015 -2016, Notification No.
1(5)/2018-S.P.-I of the Ministry of Consumer Affairs, Food & Public Distribution,
Department of Food & Public Distribution, providing cash grants of INR 45/ton (INR
4.5/qtl) of cane crushed to pay farmers, via the Sugar Development Fund (SDF), of
2 December 2015;38
d) "Scheme for Creation and Maintenance of Buffer Stock", reflected in:
i. Notification No. 1(6)/2018 -SP-I of the Ministry of Consumer Affairs, Food &
Public Distribution, Department of Food & Public Distribution of 31 Dec ember
2018 notifying a change to the Scheme for Creation and Maintenance of Buffer
Stock so that sugar mills must fully comply with directives, (including relating to
the MIEQ);
ii. Order No. 1(6)/2018 -SP-I of the Ministry of Consumer Affairs, Food & Public
Distribution, Department of Food & Public Distribution, of 29 June 2018
allocating 30 Lakh MT (3 million metric tons) of buffer stock;
iii. 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;
e) Duty-free Import Authorisation (DFIA) for raw sugar imported in the 2019 –20 and
2020–21 sugar seasons, for mills which have exported white/refined sugar during
the 2017–18 sugar season,39 reflected in:
i. Notification No. 57/201 5-2020 of the Ministry of Commerce and Industry,
Department of Commerce, Directorate General of Foreign Trade of 28 March
2018;

38 Reflected in Gazette of India Extraordinary Part -1, section -1, Notification No. 20( 43)/2015-S.P.-1
Ministry of Consumer Affairs, Food & Public Distribution, Department of Food & Public Distribution dated 2
December 2015; and including disbursements made to September 2016 and beyond, referred to on Department
of Food & Public Distribution web site, "Production subsidy: Since the production subsidy scheme was withdrawn
before time, the Central Government has decided to disburse the performance based production subsidy for cane
crushed during 2015-16 sugar season till the tenancy of the sche me vide notification dated 12.09.2016. Under
the scheme, so far Rs. 520 crores have been disbursed as production subsidy to 213 sugar mills…", available at
https://dfpd.gov.in/sugar.htm (last visited 11 March 2019).
39 Notification No. 57/2015-2020 of the Ministry of Commerce and Industry, Department of Commerce,
Directorate General of Foreign Trade of 28 March 2018, referring to SION SI.No- E52.
WT/DS581/1 • G/AG/GEN/153 • G/SCM/D125/1 • G/L/1302

f) Federal- and State -level export subsidies related to the transportation of sugar
including, but not limited to:
i. 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 transport subsidy for exports of sugar, as amended;
ii. Circular No. TM/A/15 -22/33 of the Mumbai P ort Trust of 18 December 2018,
providing for concessional rates for demurrage on exports of sugar;
g) Low interest loans and grants to mills to pay the difference between the FRP and the
SAP;
h) All other instruments, including all successor instruments and any amendments
thereto, providing federal-level subsidies contingent on export performance to sugar
mills.
9. State-level export subsidies for sugar and sugarcane, which make the provision of financial
support to sugar mills contingent upon export performance in cluding, but not limited to,
instruments which provide for:
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, Uttar Pradesh, and
Uttarakhand; including production-based cash grants, interest waivers, share capital
contribution, loans extended from state exchequer, default guarantee on loans, and
deferral of purchase tax, debt restruc turing and exemption of exported sugar from
local taxes and fees;40
b) All other instruments, including all successor instruments and any amendments
thereto, providing state-level subsidies contingent on export performance to sugar
mills.
10. Federal-level assista nce and export incentives , including under Sugar Rules / Sugar
Development Fund (SDF) Rules rule 20B 41 as amended (also referred to as the Raw Sugar
Export Incentive Scheme),42 including, but not limited to the following:
a) Sugar Development Fund (Amendment) R ules, 2015, Notification GSR 127 (E)., F.
No. 20(90)/2013-SP-I, Ministry of Consumer Affairs, Food & Public Distribution, of
27 February 2015, amending Rule 20B of the Sugar Development Fund Rules
1983;43
b) Export Incentive of INR 4,000 per ton (approximately 21 per cent of the world raw
sugar price) for an additional 1.4 million tons above earlier seasons (19 February
2015);44
c) Export Incentive of INR 3,371 per ton (August – September 2014);

40 Similar to exported sugar exemption from local taxes and fees imposed on domestic sugar to value of
INR 950 per ton (2006 – 2008).
41 Sugar Development Fund (Amendment) Rules, 2014, rule 20B, inserted 28 February 2014.
42 Reflected in Ministry of Consumer Affairs, Food and Public Distribution, Department of Food and Public
Distribution 'Sugar and Sugarcane Policy', "Provided financial assistance through 'raw sugar export incentive
scheme' Rs. 425 crore was disbursed under the scheme", available at https://dfpd.gov.in/sugar -sugarcane-
policy.htm (last visited 11 March 2019).
43 Providing at sub-rule (4): "the incentive shall be at the rate of rupees three thousand three hundred
per metric tonne for April-May,2014, rupee three thousand three hundred per metric tonne for June-July,2014,
and rupees three thousand three hundred se venty one per metric tonne for August-September, 2014 and the
incentive shall be rupees four thousand per metric tonne for the current sugar season 2014-15(October, 2014-
September, 2015)."
44 Cabinet Committee on Economic Affairs (CCEA) Press Release, 18 November 2015.
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d) Export Incentive of INR 2,277 per ton (April – May 2014);
e) Export Incentive of INR 3,300 per ton (3 March – 31 July 2014) (indicating eligibility
would be contingent on production and export of sugar);45
f) Sugar Development Fund (Amendment) Rules, 2014, Notification GSR 128 (E)., F.
No. 20(90)/2013-SP-I, Ministry of Consumer Aff airs, Food & Public Distribution, of
28 February 2014, inserting rule 20B of the Sugar Development Fund Rules 1983;46
g) All other instruments, including all successor instruments and any amendments
thereto, providing for export incentives for sugar.
11. Freight assistance, including under the Sugar Development Fund (SDF) Rules rule 20A,47 as
well as but not limited to the following:
a) Federal-level freight assistance, including the "Scheme for defraying expenditure
towards internal transport, freight, handling and other charges on export", reflected
in:
i. Notification F. No. 1(14)/2018 -SP-I of Ministry of Consumer Affairs, Food and
Public Distribution, Department of Food and Public Distribution of 5 October
2018, providing INR 1,000/ton for mills located within 100 kilometres (km) from
ports; INR 2,500/ton for mills beyond 100km from the port in coastal states;
and INR 3,000/ton for mills in other than coastal states or actual expenditure,
whichever is lower. It appears this is to be credited directly to the farmers on
behalf of mills, to support the cane price;48
ii. Communication F. No. 1-3/2018-Trade of the Ministry of Consumer Affairs, Food
and Public Distribution, Department of Foo d and Public Distribution of
19 November 2018, clarifying notification F. No. 1(14)/2018 -SP-I of 5 October
2018;
b) State-level freight assistance, including state transportation payments for internal
or international transport or freight, and measures in addition to federal SDF
subsidy.49

45 Cabinet Committee on Economic Affairs (CCEA) Press Release, 18 November 2015, "To improve liquidity
of sugar mills and facilitate payment of cane dues arrears, the Government had increased the export incentive
on raw sugar from Rs 3300/MT to Rs. 4000/MT in the sugar season 2014-15."
46 Providing "the incentive shall be at the rate of Rupees three thousand three hundred per metric tonne
for February and March, 2014 and, thereafter, be recalculated every two months after taking into ac count the
average exchange rate of Rupee vis-à-vis USD…".
47 Reflected in Ministry of Consumer Affairs, Food and Public Distribution, Department of Food & Public
Distribution, Sugar Development Fund (Second Amendment) Rules 2007, Notification G.S.R. 697(E) of
7 November 2007.
48 Referred to in ''Cabinet approves comprehensive policy to deal with excess sugar production in the
country', Cabinet Committee of Economic Affairs (CCEA) Press Release, 26 September 2018.
49 Similar to Government of Maharashtra Resolution No. SSK1007/C.R.194/25-C, 27 July 2007.
WT/DS581/1 • G/AG/GEN/153 • G/SCM/D125/1 • G/L/1302

ANNEX B
STATEMENT OF AVAILABLE EVIDENCE UNDER
ARTICLE 4.2 OF THE SCM AGREEMENT
1. Notification No. 1(4)/2018-SP-I of the Ministry of Consumer Affairs, Food & Public Distribution,
Department of Food & Public Distribution of 24 December 2018;
2. 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;
3. Notification No. 1(4)/2018-SP-I of the Ministry of Consumer Affairs, Food & Public Distribution,
Department of Food & Public Distribution of 28 September 2018, which allocates factory-wise
minimum indicative export quotas for the 2018-2019 season;
4. Notification No. 1(4)/2018-SP-I of the Ministry of Consumer Affairs, Food & Public Distribution,
Department of Food & Public Distribution of 23 September 2018 concernin g the allocation of
minimum indicative export quotas for the 2018-2019 season;
5. Notification No. 1(4)/2018-SP-I of the Ministry of Consumer Affairs, Food & Public Distribution,
Department of Food & Public Distribution of 23 August 2018, which makes certain amendments
to Notification No. 1(4)/2018-SP-I of 9 May 2018;
6. 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, which revises the allocation of minimum
indicative export quotas for the 2017-2018 season;
7. 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, which allocates factory -wise
minimum indicative export quotas for the 2017-2018 season;
8. Cabinet Committee on Economic Affairs (CCEA) Press Release of 18 November 2015;
9. Order F. No. 1(10)/2015 -SP-1 of Ministry of Consumer Affairs, Food and Public Distribution,
Department of Food and Public Distribution, com munication to sugar mills, of 18 September
2015;
10. 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;
11. Notification No. 1(5)/2018-S.P.-I of the Ministry of Consumer Affairs, Food & Public Distribution,
Department of Food & Public Distribution of 16 August 2018;
12. 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;
13. Notification No. 1(5)/2018-S.P.-I of the Ministry of Consumer Affairs, Food & Public Distribution,
Department of Food & Public Distribution, providing cash grants of INR 45/ton (INR 4.5/qtl) of
cane crushed to pay farmers, via the Sugar Development Fund (SDF), of 2 December 2015;50
14. Notification No. 1(6)/2018-SP-I of the Ministry of Consumer Affairs, Food & Public Distribution,
Department of Food & Public Distribution of 31 December 2018 notifying a change to the Scheme

50 Reflected in Gazette of India Extraordinary Part -1, section -1, Notification No. 20(43)/2015 -S.P.-1
Ministry of Consumer Affairs, Food & Public Distribution, Department of Food & Public Distribution dated 2
December 2015; and including disbursements made to September 2016 and beyond, referred to on Department
of Food & Public Distribution web site, "Production subsidy: Since the production subsidy scheme was withdrawn
before time, the Central Government has decided to disburse the performance based production subsidy for cane
crushed during 2015-16 sugar season till the tenancy of the scheme vide notification dated 12.09.2016. Under
the scheme, so far Rs. 520 crores have been disbursed as production subsidy to 213 sugar mills…", available at
https://dfpd.gov.in/sugar.htm (last visited 11 March 2019).
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for Creation and Maintenance of Buffer Stock so that sugar mills must fully comply with
directives, (including relating to the MIEQ);
15. Order No. 1(6)/2018 -SP-I of the Ministry of Consumer Affairs, Food & Public Distribution,
Department of Food & Public Distribution, of 29 June 2018 al locating 30 Lakh MT (3 million
metric tons) of buffer stock;
16. 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;
17. Notification No. 57/2015 -2020 of the Min istry of Commerce and Industry, Department of
Commerce, Directorate General of Foreign Trade of 28 March 2018;
18. 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 transport subsidy
for exports of sugar, as amended;
19. 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;
20. Sugar Development Fund (Amendm ent) Rules, 2015, No tification GSR 127 (E).,
F. No. 20(90)/2013-SP-I, Ministry of Consumer Affairs, Food & Public Distribution, of 27
February 2015, amending Rule 20B of the Sugar Development Fund Rules 1983;51
21. Export Incentive of INR 4,000 per ton (approximately 21 per cent of the world raw sugar price)
for an additional 1.4 million tons above earlier seasons (19 February 2015);52
22. Export Incentive of INR 3,371 per ton (August – September 2014);
23. Export Incentive of INR 2,277 per ton (April – May 2014);
24. Export Incentive of INR 3,300 per ton (3 March – 31 July 2014) (indicating eligibility would be
contingent on production and export of sugar);53
25. Sugar Development Fund (Amendment) Rules, 2014, No tification GSR 128 (E).,
F. No. 20(90)/2013-SP-I, Ministry of Consum er Affairs, Food & Public Distribution, of 28
February 2014, inserting rule 20B of the Sugar Development Fund Rules 1983;54
26. Notification F. No. 1(14)/2018-SP-I of Ministry of Consumer Affairs, Food and Public Distribution,
Department of Food and Public Distribution of 5 October 2018, providing INR 1,000/ton for mills
located within 100 kilometers (km) from ports; INR 2,500/ton for mills beyond 100km from the
port in coastal states; and INR 3,000/ton for mills in other than coastal states or actual
expenditure, whichever is lower. It appears this is to be credited directly to the farmers on behalf
of mills, to support the cane price;55

51 Providing at sub-rule (4): "the incentive shall be at the rate of rupees three thousand three hundred
per metric tonne for April-May,2014, rupee three thousand three hundred per metric tonne for June-July,2014,
and rupees three thousand three hundred seventy one per metric tonne for August-September, 2014 and the
incentive shall be rupees four thousand per metric tonne for the current sugar season 2014-15(October, 2014-
September, 2015)."
52 Cabinet Committee on Economic Affairs (CCEA) Press Release, 18 November 2015.
53 Cabinet Committee on Economic Affairs (CCEA) Press Release, 18 November 2015, "To improve liquidity
of sugar mills and facilitate payment of cane dues arrears, the Government had increased the export incentive
on raw sugar from Rs 3300/MT to Rs. 4000/MT in the sugar season 2014-15."
54 Providing "the incentive shall be at the rate of Rupees three thousand three hundred per metric tonne
for February and March, 2014 and, thereafter, be recalculated every two months after taking into account the
average exchange rate of Rupee vis-à-vis USD…".
55 Referred to in ''Cabinet approves comprehensive policy to deal with excess sugar production in the
country', Cabinet Committee of Economic Affairs (CCEA) Press Release, 26 September 2018.
WT/DS581/1 • G/AG/GEN/153 • G/SCM/D125/1 • G/L/1302

27. Communication F. No. 1 -3/2018-Trade of the Ministry of Consumer Affairs, Food and Public
Distribution, Department of Food and Public Distribution of 19 November 2018, clarifying
notification F. No. 1(14)/2018-SP-I of 5 October 2018;
28. Ministry of Consumer Affairs, Food and Public Distribution, Department of Food and Public
Distribution 'Sugar and Sugarcane Policy', at https://dfpd.gov.in/sugar-sugarcane-policy.htm.
29. 'Price Po licy 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, August 2017, at
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=622.
30. 'Price Policy for Sugarcane (2017 -18 sugar season)', Commission for Agricultural Costs and
Prices, Department of Agriculture, Cooperation and Farmers Welfare, Ministry of Agriculture and
Farmers Welfare, Government of India, August 2016, at
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=595.
31. 'Price Policy for Sugarcane (2016 -17 sugar season)', Commission for Agricultural Costs and
Prices, Department of Agriculture and Cooperation, Ministry of Agriculture, Government of India,
August 2015, at
http://cacp.dacnet.nic.in/ViewQuestionare.aspx?Input=2&DocId=1&PageId=41&KeyId=576