No cut in sugar import from India, no disruptions: STO

The State Trading Organization (STO) on Sunday confirmed that sugar import from India has not been cut, and added there will be no disruptions to supply.

STO has made the confirmation after some Indian media reported that the country had almost fully stopped its exports to the Maldives due to allegations of diverting sugar shipments to Sri Lanka.

STO confirmed to 'Sun' Online that India's sugar imports to the Maldives has not stopped.

"We will not face any difficulties that would hinder managing sugar supply," an STO official confirmed.

According to India's Shipping News, the country's Directorate-General of Foreign Trade (DGFT) is looking into the potential misuse of 64,494.33 tons of sugar exported from India.

The news outlet further reported that authorities were informed that at least seven parcels of sugar set for Maldives, was being diverted to Sri Lanka from India's Nhava Sheva Port and since confiscated.

The Indian news outlet added that sugar exports to the Maldives has been almost completely put on pause in light of the investigation by Indian authorities. Meanwhile, some business news outlets further report that Sri Lankan authorities have also stopped clearance and launched its own investigation into sugar merchants.

Earlier in April this year, the DGFT renewed its special provisional agreement with the Maldives to continue India's export of rice, flour, sugar, eggs, potato, garlic and aggegrate and aggregate sand to the Maldives.