Sugar prices in the Vashi wholesale terminal market remained unchanged on Thursday on routine demand – supply.

Spot prices were up by Rs 6 a quintal for M-grade, while for S-grade prices declined by Rs 10. Naka and mill tender rates ruled steady despite Rs 5-7 rise in freight charges from Kolhapur, Karad and Sangli line.

Sources said: “Local demand remained need-based and there is ample supply from producers. Mills are continuously selling in local market as demand from neighbouring States is lacking since long in Maharashtra”.

Higher sugar production in southern States has diverted eastern side demand there forcing producers here to concentrate in local markets.

Freight rates from Kolhapur, Karad and Sangli line improved by Rs5-7 this week but not affected on market price due to routine activities.

Sugar futures showing range bound volatility keeping speculators, hedgers away from markets.

In the Vashi market, arrivals were 62-63 truck loads (each of 100 bag) while dispatches were 58-60 truckloads. Inventories increased to more than 100 truckloads. On Wednesday evening, about 15-17 mills offered tenders and sold about 54,000-55,000 bags (each of 100 kg) at Rs 3,120-3,170 (Rs 3,120-3,170) for S-grade and Rs 3,230-3,280 (Rs 3,230-3,280) for M-grade.

On the National Commodities and Derivatives Exchange, February futures prices were Rs 3,257 (Rs 3,258); March Rs 3,291 (Rs 3,293) and April Rs 3,339 (Rs 3,339).

The Bombay Sugar Merchants Association’s spot rates were: S-grade Rs 3,252- 3,332 (Rs 3,262-3,332) and M-grade Rs 3,342-3,472 (Rs 3,336-3,472). Nakadelivery rates were: S-grade Rs 3,230-3,260 (Rs 3,230-3,260) and M-grade Rs 3,280-3,420 (Rs 3,280-3,420).

Published on January 10, 2013