India's government is set to restrict sugar exports after poor monsoon rains, broadcaster ET Now reported on Wednesday, citing agencies. The seasonal monsoon rainfall is vital for India's $3 trillion economy and brings nearly 70% of the rain the country needs to water crops and replenish reservoirs and aquifers.
Monsoon rain this year was the lowest since 2018 due to the El Nino weather pattern - a warming of Pacific waters that is typically accompanied by drier conditions over the Indian subcontinent, according to the state-run weather office. Summer rainfall deficit risks making staples such as sugar, pulses, rice and vegetables more expensive and lift overall food inflation.