Dhampur Sugar Mills, Dalmia Bharat Sugar & Industries, Bajaj Hindusthan Sugar, Shree Renuka Sugars, Godavari Biorefineries, Balrampur Chini Mills, Triveni Engineering & Industries, and EID Parry declined 1-7% on Thursday, while the benchmark BSE 500 gained more than 1%.
Also read: India bans sugar exports till September to stabilise domestic prices
Gaurav Sharma, head of research, Globe Capital Market, said the government’s pause on sugar exports is driven by a recent rise in domestic sugar prices amid lower sugarcane yields in Maharashtra and Karnataka, alongside likely threat to crop shrinkage due to the El Nino this year.
“However, most sugar mills have continued to expand capacity to support the government’s 20% ethanol blending targets. This will lead to less sugar production going forward but would support production and sales despite the export restrictions,” he said.
ET BureauMedium- to long-termpotential, however, is positive, say analysts
The ban is a near-term overhang for sugar stocks, rather than a long- term concern, Sharma said.
Performance of these sugar producers has been mixed in 2026. Among the top ten sugar companies by market capitalisation, Avadh Sugar & Energy, Balrampur Chini Mills, Dhampur Sugar Mills, Dalmia Bharat Sugar & Industries, Godavari Biorefineries and Bannari Amman Sugars are up 5-31% this year, while Triveni Engineering & Industries, Bajaj Hindusthan Sugar, Shree Renuka Sugars and EID Parry are down 2-23% in 2026.
Also read: Explained: Why Balrampur Chini, Dhampur Sugar, other stocks tumbled up to 4% on Thursday
Mahesh Ojha, vice president, research, Kantilal Chhaganlal Securities, said the overall impact due to sugar’s export ban is expected to remain limited as sugar production in India is already under pressure due to the heatwave and uneven rainfall.