NEW DELHI, June 25: Sugar prices continued to rise in the national capital’s retail market today and gained up to Re 1 to Rs 40/41 per kg as the government had earlier this week announced measures to help the cash-starved industry.
In the wholesale market, the prices of the sweetener edged higher by up to Re 1 to Rs 34 per kg.
Sugar traders said further tight supplies from millers who are holding back stocks in anticipation of a rise in the prices of the sweetener also supported the uptrend.
As against 5,000 bags yesterday, nearly 4,500 bags of 100 kg arrived in the market today, they said.
Generally, on an average 14,000-15,000 bags used to arrive in the capital before the government’s measures to bail out the industry.
Besides, strong demand from bulk consumers including soft-drink and ice-cream makers was also responsible for the persistent rise in the sweetener’s prices.
In order to bail out sugar mills that were unable to pay dues worth Rs 11,000 crore to cane growers, the government had on Monday decided to hike import duty on sugar to 40 per cent and extended export subsidy of Rs 3,300 per tonne till September this year.
Besides, the government also decided to provide additional interest-free loans of up to Rs 4,400 crore, especially for clearing cane arrears.
India is the world’s second largest producer as well as the largest consumer of sugar.
In the mill gate section, Mawana rose by Re 1 per kg to Rs 34, followed by Asmoli (up 70 paise per kg to Rs 33.70), Baghpat (up 45 paise per kg to Rs 32.80), Morna (up 50 paise per kg to Rs 32.70), Dhampur (up 20 paise per kg to Rs 33.10), Dorala (up 50 paise per kg to Rs 33.60), Modi Nagar (up 60 paise per kg to Rs 33.40) and Bulandhshar (up 15 per kg to Rs 33.40).
In the spot market segment, M-30 rose by 50 paise to Rs 35.00-36.50 per kg and S-30 moved up by a similar margin to Rs 34.50-36.00 per kg.
Mill delivery M-30 edged higher by 20-50 paise to Rs 32.50-34.20 per kg and S-30 was up by 30 paise to Rs 32.80-33.80.
Meanwhile, at the National Commodity and Derivatives Exchange, sugar for delivery in August fell by Rs 20, or 0.63 per cent, to Rs 3,154 per quintal with an open interest of 26,140 lots.
Similarly, the sweetener for delivery in July traded lower by Rs 17, or 0.54 per cent, to Rs 3,114 per quintal in 31,160 lots.
Following are today’s quotations (in Rs per kg)
Sugar ready: M-30 (Rs 35.00-36.50); S-30 (Rs 34.50-36.00).
Mill delivery: M-30 (Rs 32.50-34.20); S-30 (Rs 32.30-33.80).
Sugar mill gate (including duty): Mawana (Rs 34); Kinnoni (Rs 34.20); Asmoli (Rs 33.70); Dorala (Rs 33.60); Budhana (Rs 33.60); Thanabhavan (Rs 33.50); Dhanora (Rs 33.60); Simbholi (Rs 34.10); Modi Nagar (Rs 33.40); Khatuli (Rs 33.90); Dhampur (Rs 33.10); Ramala (Rs 32.70); Bulandshahr (Rs 33.40); Anupshahr (Rs 32.50); Baghpat (Rs 32.80); Morna (Rs 32.70); Sakoti (Rs 33.20); Chandpur (Rs 33.20) and Nazibabad (Rs 32.60). (PTI)
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