Sugar stocks in a spot of bother amid oversupply
ETMarkets.com|
Mar 06, 2018, 01.05 PM IST
NEW DELHI: A majority of sugar stocks hit a soft patch on Tuesday in the wake of bumper production and limited buying.
Those that hit fresh 52-week lows on the NSE included Bajaj Hindusthan Sugar, Balrampur Chini Mills, Dalmia Bharat Sugar and Industries, Dwarikesh Sugar Industries, Mawana Sugars, Rajshree Sugars & Chemicals, Rana Sugars, Sakthi Sugars and Thiru Arooran Sugars.
Subdued demand from stockists and bulk consumers, including makers of sweets, ice creams and soft drink, triggered the slide in sugar prices.
On Monday, the prices settled lower by Rs 80 per quintal at the wholesale market in the national capital.
The sugar industry has asked the government to allow export of 15 lakh tonnes of the commodity to manage surplus production, ET reported. In February, the government had doubled the import duty on sugar to 100 per cent, which then helped stabilise sugar prices.
Those that hit fresh 52-week lows on the NSE included Bajaj Hindusthan Sugar, Balrampur Chini Mills, Dalmia Bharat Sugar and Industries, Dwarikesh Sugar Industries, Mawana Sugars, Rajshree Sugars & Chemicals, Rana Sugars, Sakthi Sugars and Thiru Arooran Sugars.
Subdued demand from stockists and bulk consumers, including makers of sweets, ice creams and soft drink, triggered the slide in sugar prices.
On Monday, the prices settled lower by Rs 80 per quintal at the wholesale market in the national capital.
The sugar industry has asked the government to allow export of 15 lakh tonnes of the commodity to manage surplus production, ET reported. In February, the government had doubled the import duty on sugar to 100 per cent, which then helped stabilise sugar prices.
