Sugar futures fall on weak demand, higher stocks

Sugar futures prices fell by 0.95% to Rs 2,505 per quintal today as speculators reduced their positions, triggered by weak demand from bulk consumers at the spot market, amid higher stocks position.

At the National Commodity and Derivatives Exchange, sugar for delivery in June fell by Rs 24, or 0.95%, to Rs 2,505 per quintal, with an open interest of 25,860 lots.

The July contract lost Rs 14, or 0.55%, to Rs 2,550 per quintal, with a business volume of 13,530 lots.

Meanwhile, in Kolhapur, a key market in top producer Maharashtra, the most traded S-variety edged down by 0.43% to Rs 2,532 per quintal.

Analysts attributed the fall in sugar futures prices to weak demand in the spot markets and higher stocks position with the millers.