The Indian government has launched an investigation into the suspected illegal smuggling of 70 tonnes of sugar intended for the Maldives under a special export agreement. The inquiry is being conducted by the Directorate General of Foreign Trade (DGFT), which operates under India’s Ministry of Economic Affairs.
The case involves sugar that was part of a broader agreement signed in April, permitting India to export 64,494.33 tonnes of sugar to the Maldives, along with other essential goods such as flour, millet, eggs, onions, and garlic.
Indian newspapers reported on Saturday that the DGFT has temporarily halted sugar exports to the Maldives while the investigation is underway.
Initial findings from the inquiry reveal irregularities in the shipment process. Seven parcels of sugar were dispatched from the Nava Sheva port in India, but Sri Lankan customs authorities intercepted approximately 70 containers of sugar at Colombo. Documents associated with the shipment reportedly indicated Colombo as the final port of destination, raising questions about its intended route.
India has placed a temporary suspension on normal sugar exports, effective from September 2023 to October 2024, due to domestic supply concerns. However, exports to the Maldives were allowed as an exception under the special agreement.
The DGFT’s investigation aims to uncover whether the intercepted shipment was part of a larger scheme to divert sugar exports to unintended markets. Authorities in both India and Sri Lanka are collaborating on the matter.
The Maldives has not yet issued an official statement regarding the incident.