India, the world's second biggest sugar producer, could consider subsidy for raw sugar exports at a cabinet meeting on Thursday, a top government source said on Wednesday.

Food Minister Ram Vilas Paswan said last week the government could give export incentives for 1.4 million tonnes of raw sugar as mills start distress sale to pay cane farmers.

The source also said the government had no immediate plans to export wheat from overflowing warehouses but could sell locally.