Comments
Sugar prices witnessed decline of Rs.10 in fair quality while good quality M grade increased by Rs.10 per quintal on fresh retail buying support. Arrivals and dispatches were higher, with business active in the physical market. Mill and naka level price ruled steady as mills continued sell at present rates. Morale was firm on expectation of improvement in demand. Eased supply kept price volatility range bound, said market sources.
According to Vashi-based wholesale traders, the market will witness fresh demand from retailers as Rakshabandhan is on Saturday and the Independence Day falls next Monday. Retailers were active buyers as Saturday to Monday are consecutive holidays. Mills are continually selling at the current price levels, easing supply in the domestic market.
In the absence of export demand or buying by neighbouring states, prices are range bound in Maharashtra, with Rs.15/Rs.20 plus or minus based on local demand support. The demand from sweet, confectionery and snacks makers were not on expected lines. As the market carries sufficient stocks to fulfil demand, there is lack of inventory purchase sentiment. A very little quantity of fine variety M grade sugar was sold by mills to needy buyers at Rs.30/Rs.40 higher at the upper level.
Domestic sugar futures also witnessed a bearish trend since the Government released higher non-levy sugar quota for August. In the world market, white sugar prices closed lower by $19.60 dollar to $710.50 dollar per tonne on Monday, down $67 dollars per tonne this month. At the end of July-11, the London October futures was at $777.40 level.
On Monday, about 24/25 mills offered tenders and sold about 90,000/ 95,000 bags (Each of 100 kg) in the range of Rs.2,555/Rs.2,615 (Rs.2,575 / Rs.2,615) for S grade and Rs.2,620/Rs.2,700 (Rs.2,630 / Rs.2,700) for M grade. Arrivals in the market were 50/52 truck loads (Each of 100 bags) and local dispatches were 49/50 truck loads.
Bombay Sugar Merchants Association sugar rates:
Spot rates: S grade Rs.2,700 / Rs.2,831 (Rs.2,710 / Rs.2,831) and M grade Rs.2,741/ Rs.2,941 (Rs.2,751/ Rs.2,931).
Naka delivery rates: S grade Rs.2,650/ Rs.2,700 (Rs.2,650 /Rs.2,700) and M grade was Rs.2,710 / Rs.2,880 (Rs.2,750/Rs.2,880).
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.