Sugar prices have risen sharply in recent weeks, increasing from ₹48.18 per kg on July 20, 2026, to ₹55.70 per kg on August 20. The government on Friday rejected claims that ethanol production was driving the recent surge in sugar prices.Centre says rise in sugar prices cannot be attributed to ethanol (REUTERS)“It is incorrect to attribute the recent increase in sugar prices to diversion of sugar for ethanol production,” the Ministry of Consumer Affairs, Food & Public Distribution said in a statement.According to the government, the share of sugar diverted for ethanol production fell from around 12% in 2022-23 to around 9% in 2025-26. It also said nearly three-fourths of the ethanol produced in the country now comes from grains, particularly maize.Sugar prices have risen sharply in recent weeks, increasing from ₹48.18 per kg on July 20, 2026, to ₹55.70 per kg on August 20, 2026. The government said it is closely monitoring the situation and has taken measures to ensure adequate availability of sugar and stable prices for consumers.(This is a breaking story. More details awaited.)Follow the latest breaking news, major developments and agenda-setting stories from India and around the world with the newsdesk at Hindustan Times. Operating round the clock, the desk brings together experienced editors, reporters and correspondents to deliver fast, accurate and contextual reporting across subjects that influence public policy, governance, business, society and international affairs.