INDIAN SUGAR EXIM CORPORATION LIMITED vs SAKUMA EXPORTS LIMITED

Judgment text excerpt

* IN THE HIGH COURTOF DELHI AT NEW DELHI % Judgment reserved on: 09.04.2026 Judgment pronounced on: 20.04.2026 + O.M.P. (COMM) 416/2023 & I.A. 19782/2023 INDIAN SUGAR EXIM CORPORATION LIMITED .....Petitioner Through: Mr. Jayant Mehta, Sr. Adv. with Ms. Shruti Sabharwal, Ms. AvlokitaRajvi, Mr. Lakshya Khanna, Mr. Bakhshind Singh and Ms. SidhikaNagrath, Advs. versus SAKUMA EXPORTS LIMITED .....Respondent Through: Mr. Rajeeve Mehra, Sr. Adv. with Mr. V AnushRaajan, Ms. Shreya V Mehra and Mr. Pradyumn Yadav, Advs. CORAM: HON'BLE MR. JUSTICE AVNEESH JHINGAN JUDGMENT 1. The petition under Section 34 of the Arbitration and Conciliation Act, 1996 (for short ‘the Act’) is filed challenging the arbitral award dated 09.06.2023. 2. The brief facts are that the petitioner is engaged in the export of sugar. The respondent/claimant is in the business of commodity trading. Vide notification dated 28.09.2018 minimum export quota in respect of each sugar mill was notified, including the sugar mills of Uttar Pradesh. Thirteen contracts were executed between the parties to the lis. The present dispute germane from contract dated 10.05.2019 Signature Not Verified O.M.P. (COMM) 416/2023 Page 1 of 13 Signed By:CHANCHAL Signing Date:20.04.2026 18:51:13 (hereinafter referred to as ‘Morna Contract’), whereunder the petitioner had to supply 8,419 MT (+/- 5% on seller’s option) of Indian white sugar from the quota of Morna Sugar Mill. The delivery was to be completed before 31.05.2019. The respondent on 13.05.2019 entered into a contract with a foreign buyer-R&R Foodstuff Trading LLP, UAE for supply of 8,600 MT of sugar (hereinafter ‘export contract’) and shipment was to be completed by 30.06.2019. 2.1 It is the case of the respondent that due to failure of the petitioner to supply sugar the expor