Sugar prices on the Vashi wholesale market slipped below Rs 3,600, losing more than Rs 50 a quintal on Wednesday on release of an additional 2.66 lakh tonnes for sale in the open market for September quarter. The additional release is part of the unsold levy sugar quota from previous years. Naka rates declined by Rs 50-70, while mill tender rates dropped marginally by Rs 20 but are expected to be lower by Rs 40-50 on Wednesday evening.

A Vashi-based wholesaler said that due to the release of additional free sale quota stockists turned cautious keeping away from fresh bulk buying. Physical retail demand also eased in the middle of the month. Sugar futures witnessed profit booking and selling pressure. Neighbouring States buying in Maharashtra is still not showing any improvement. Sugar futures on the National Commodity and Derivatives Exchange (NCDEX) ruled range-bound and slightly weak on profit booking.

In Vashi market, arrivals were 53-54 truckloads and local dispatches were 50-51 truckloads. On Tuesday evening, only 10 -12 mills offered tenders and sold about 38,000 – 40,000 bags (of 100 kgs each) to local stockists in the lower range of Rs 3,300-3,380 (Rs 3,320-3,400) for S-grade and Rs 3,400-3,450 (Rs 3,420-3,450) for M-grade. Late evening tender were expected to be lower by Rs 40-50 .

Bombay Sugar Merchants Association's spot rates: S-grade Rs 3,411-3,491 (Rs 3,461-3,531) and M-grade Rs 3,486- 3,571 (Rs 3,521- 3,621). Nakadelivery rates: S-grade Rs 3,380 -3,440 (Rs 3,450 -3,500) and M-grade Rs 3,440-3,520 (Rs 3,500-3,570).

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