Making of sugar solution or dissolving sugar in water is a physical change.
When sugar is dissolved in water, it splits into smaller molecules and spreads themselves away from each other. But there is no chemical change or there are no new products produced.
In order for a chemical change to take place, new products should be formed.
But sugar dissolved in water does not undergo chemical change. Instead it splits into smaller particles. Its identity remains the same. The smaller sugar particles does not split into carbon, oxygen or hydrogen. This same sugar can be obtained by evaporating the water.
Thus, making of sugar solution is a physical change.