Final report of the Panel in the disputes “India – Sugar and Sugarcane” (DS579, DS580 and DS581)

The World Trade Organization released today the final report of the Panel initiated by Brazil, Guatemala and Australia regarding India’s support for the sugar sector. The Panel's decisions were favorable to Brazil and the other two complainants.

The Panel concluded that India’s policy of mandatory minimum prices for the sale of sugarcane has exceeded the limits under the WTO Agreement on Agriculture. The Panel also decided that India’s sugar export subsidies violate WTO rules.

Brazil expects that India will adjust its legislation and its practices to the Panel’s decisions and stands ready to negotiate a prompt resolution to the dispute.

Illegal measures to support domestic sugarcane production applied by India have generated overproduction of sugar in that country, which is currently the third largest exporter of the product in the world. The export of surpluses by India, at uneconomically low prices, has negatively affects international sugar prices.

Brazil is the largest sugar exporter in the world, with a share of about 40% of world exports in 2019 and 2020.