Retail in Asia

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Inflation and health worries to hit India’s sugar demand this year

The Indian consumer has a famously sweet tooth, but that may not stop demand flatlining this year in the country with the world’s highest consumption of sugar,  even as global prices plummet.

With India’s affluent worrying about diabetes and heart disease and the less affluent seeing their food budgets decimated by double-digit inflation, a five year period of 3-5 percent annual increases in sugar demand may be coming to an end.

And the likely renewal of import duties will mean Indian consumers will not see the benefits of a one third fall in global white sugar prices from their peak at the start of the year.