Agri Business

Sugar futures fall on low demand

PTI New Delhi | Updated on March 28, 2011

Sugar. File Photo: P.V. SIVAKUMAR   -  Business Line

Sugar futures prices fell by 0.18 per cent to Rs 2,841 per quintal on Monday as speculators reduced their positions amid weak trend at the spot markets.

Besides, expectations that the government may release higher free-sale quota for April also kept pressure on the sweetener’s prices at the futures trade.

At the National Commodity and Derivatives Exchange, sugar for delivery in May fell by Rs 5, or 0.18 per cent, to Rs 2,841 per quintal, with an open interest of 15,156 lots.

Similarly, sugar for delivery in April also lost Rs 2, or 0.07 per cent, to Rs 2,758 per quintal, with a business volume of 7,920 lots.

Analysts attributed the fall in sugar prices to subdued demand in the spot markets, forcing speculators to reduce their positions.

Also, hopes of higher free-sale quota for April put pressure on the sugar futures prices. However, government’s decision to allow export of up to 5 lakh tonnes, restricted the losses, they added.

Published on March 28, 2011

Follow us on Telegram, Facebook, Twitter, Instagram, YouTube and Linkedin. You can also download our Android App or IOS App.

This article is closed for comments.
Please Email the Editor