Sugar prices at the mill level continued to rule firm on Thursday on fresh buying at the Vashi market. Mill tender rates increased by Rs 10-15 on fresh buying by State-level stockists. At the physical wholesale market in Vashi, prices remained steady on ample supplies. Naka rates jumped by Rs 15-20 a quintal taking cues from the firm trend at producing centres. Arrivals and dispatches were normal. Traders expect higher demand in summer to support the price trend.

Mr Harakhchand Vora, Vice-President of Bombay Sugar Merchants Association, said prices at the local level were steady as demand matched supplies. At the producing level, buying by State-level wholesalers and stockists supported prices, he said. Prices could also increase sharply, if retail demand rose. Current prices are producers' bottom rates, and mills do not want to sell at those rates. Producers are selling heavily to offload their stocks before the due date for this month's quota. The crushing season will end next month.

On Wednesday, about 20-22 mills sold around 1.25-1.5 lakh bags of a quintal each through tender offer at Rs 2,620-2,660 for S-grade and Rs 2,670-2,740 for M-grade. Neighbouring States were not buying. Prices were unchanged in other main markets. Arrivals at the Vashi market arrivals were 48-50 truck loads of of 100 bags each ,and local dispatches were 45-48 truck loads.

Bombay Sugar Merchants Association's spot rates: S-grade Rs 2,751-2825 (Rs 2,751-2,825) and M-grade Rs 2,792-2,911 (Rs 2,800-2,901).

Nakadelivery rates: S-grade Rs 2,730-2,760 (Rs 2,710-2,750) and M-grade Rs 2,770-2,850 (Rs 2,760-2,810).

Related Topics
comment COMMENT NOW