Pune: The central government has clarified that supply of sugar by mills to refineries in Special Economic Zones (SEZ) will be considered to be export for the purpose of certain benefits available to other mills.
The benefits are under for Maximum Admissible Export Quantity (MAEQ) scheme for the current sugar season 2019-20, which was notified to facilitate exports and improve the liquidity of the sugar mills to help them pay for cane purchased from farmers.
Under the scheme, mills are given assistance for expenses on marketing, including costs of handling, processing, international and internal transport and freight charges on export of sugar. The government allocated mill wise MAEQ quota for 2019-20.
Mills supplying sugar to refineries situated in the SEZ are also eligible to get the assistance for ocean freight for export to SEZ refinery subject to the condition that the refined sugar produced by the refinery is exported through ocean/sea.
