Sugar prices rise on retail purchases
Sugar prices both at the futures spot markets shot up on Wednesday on the back good retail buying and low cane planting, analysts said.
By Agencies |
MUMBAI : Sugar prices both at the futures spot markets shot up on Wednesday on the back good retail buying and low cane planting, analysts said.
However, gains were limited by expectations the government may raise supplies in the open market in August to meet festival demand.
The Centre, had allowed millers to tentatively sell 3 mn tonnes in the quarter ending September, including 900,000 tonnes each in August and September. It had allowed mills to sell 3.6 mn tonnes in the same period last year.
���There are good chances that the quantity would be raised keeping in mind the recent rise in sugar prices,��� Praful Vithlani, a sugar broker in Mumbai, said.
The area under cane up to July 25 had fallen more than 17.5% from a year ago to 4.4 mn hectares, government data released on Friday showed. That may lead to a fall in sugar output in the year ending September 2009, analysts said.
In Vashi, medium sugar (M-30) rose further by Rs 35/45 to Rs 1,694/1,790 per 100 kg. Small quality (S-30) also firmed up by Rs 15/20 to Rs 1,654/1,720 per 100 kg.
However, gains were limited by expectations the government may raise supplies in the open market in August to meet festival demand.
The Centre, had allowed millers to tentatively sell 3 mn tonnes in the quarter ending September, including 900,000 tonnes each in August and September. It had allowed mills to sell 3.6 mn tonnes in the same period last year.
���There are good chances that the quantity would be raised keeping in mind the recent rise in sugar prices,��� Praful Vithlani, a sugar broker in Mumbai, said.
The area under cane up to July 25 had fallen more than 17.5% from a year ago to 4.4 mn hectares, government data released on Friday showed. That may lead to a fall in sugar output in the year ending September 2009, analysts said.
In Vashi, medium sugar (M-30) rose further by Rs 35/45 to Rs 1,694/1,790 per 100 kg. Small quality (S-30) also firmed up by Rs 15/20 to Rs 1,654/1,720 per 100 kg.
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