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Bombay High Court Hears Petitions Challenging Sugar Export Prohibition Notification Dated 13 May 2026. Exporters Who Received Advance Payments Prior to Notification Seek to Complete Their Export Contracts Under Foreign Trade (Development and Regulation) Act, 1992.

High Court: Bombay High Court Bench: BOMBAY
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2026-11-05 23:33:57
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Issue of Consideration

Whether the DGFT notification dated 13 May 2026, prohibiting sugar exports with immediate effect, is valid insofar as it applies to exporters who had received payments from overseas buyers prior to its issuance.

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Case Details

2026 LawText (BOM) (08) 10

Writ Petition (L) No. 18701 of 2026, Writ Petition (ST) No. 15306 of 2026, Writ Petition No. 8024 of 2026, Writ Petition No. 7850 of 2026

2026-08-03

Advait M. Sethna, J. (with Suman Shyam, J.)

Mr. Abhishek A Rastogi with Ms. Pooja M Rastogi, Ms. Meenal Songire, Ms. Aarya More, Ms. Diksha Pandey for petitioners in WP(L)/18701/2026 and WP(L)/15306/2026; Ms. Somya Tripathi for petitioner in WP/8024/2026; Mr. Nikhil Rungta with Mr. D.R. Singh, Mr. Jayesh Ramgini, Mr. Harsh Choudhary for petitioner in WP/7850/2026; Mr. Anil Singh, ASG with Mr. Aditya Thakkr, Mr. Vijay Kantharia, Mr. Adarsh Vyas for respondents 1-4 in WP(L)/18701/2026, WP/8024/2026, WP/7850/2026 and respondents 1-3 in WP(L)/15306/2026; Mr. Y.R Mishra with Ms. Sangeeta Yadav, Mr. Umesh Gupta for respondent 4 in WP(L)/15306/2026; Ms. Shruti Vyas with Mr. Abhishek Mishra for respondent 5 in WP/18701/2026

Premium Sugars, Rika Global Impex Limited, Mosur Dharmalingam Sivakumar, Sucden India Pvt Ltd.

Union of India (Ministry of Commerce and Industry, Director General of Foreign Trade, Department of Food and Public Distribution, Principal Chief Commissioner of Customs, and others)

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Nature of Litigation

Writ petition under Article 226 of the Constitution of India challenging the DGFT notification dated 13 May 2026 which changed sugar export policy from restricted to prohibited.

Remedy Sought

Petitioners sought to quash the notification to the extent it prohibits exports where they had received advance payments from overseas buyers before the notification.

Filing Reason

Petitioners had entered into export contracts and received payments prior to the ban, and the abrupt prohibition would cause them loss and breach of contract.

Previous Decisions

Rejection of petitioners' representations vide email dated 3 June 2026; no prior court decisions mentioned.

Issues

Whether the DGFT notification dated 13 May 2026, prohibiting sugar exports with immediate effect, is valid insofar as it applies to exporters who had received payments from overseas buyers prior to its issuance.

Submissions/Arguments

Petitioners contended that the impugned notification caused grave and irreparable prejudice to them; detailed arguments not available in the excerpt.

Judgment Excerpts

The Petitioners in these proceedings are primarily aggrieved by the Notification dated 13th May 2026 issued by Respondent No. 2 i.e. Directorate General of Foreign Trade, Ministry of Commerce and Industry. We are called upon to examine and adjudicate such challenge mounted by the Petitioners vis-à-vis the case of the Respondents, which is predominantly premised on a policy decision taken on the touchstone of national/public interest.

Procedural History

Writ petitions filed under Article 226. The court issued notice, granted Rule, and made it returnable forthwith with consent. The matter was heard and judgment reserved on 13 July 2026. Pronounced on 3 August 2026. During pendency, petitioners' representations were rejected by email dated 3 June 2026.

Acts & Sections

  • Foreign Trade (Development and Regulation) Act, 1992: 3, 5
  • Essential Commodities Act, 1955: 3
  • Sugar (Control) Order, 2025: Clauses 6, 7
  • Constitution of India: Article 226
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Tags :
sugar export prohibition DGFT notification advance payment writ petition Article 226 public interest

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