Sugar stocks jump on hopes of import duty hike

Stocks surged on talk that the government may consider hike in import duty on sugar in order to support local prices

Sugar stocks jumped on talk that the government may consider hike in import duty on sugar in order to support local prices and help sugar mills clear dues to cane growers.

To help the sugar sector clear its cane dues, the food ministry is examining a proposal to raise the import duty from 15 to 40 per cent. It might also consider fixing the export incentive on raw sugar for two years against the current practice of revising it every two months.

Food Minister Ram Vilas Paswan said after an inter-ministerial meeting it could provide interest-free loans to millers of Rs 4,400 crore, over the granted Rs 6,600 crore.

Shares of Shree Renuka Sugars gained 11.9% to Rs 30 on the BSE. The stock opened at Rs 28, touched a high of Rs 31.8 and a low of Rs 28.5 on the BSE thus far. A total 7,484,881shares were traded on the BSE so far.

Shares of Dhampur Sugar Mills surged 13.3% to Rs 65.5 on the BSE. The stock opened at Rs 61, touched a high of Rs 67 and a low of Rs 61 on the BSE thus far. A total 715,855 shares were traded on the BSE so far.

Shares of Balram Chini Mills rose 7.6% to Rs 84 on the BSE. The stock opened at Rs 81, touched a high of Rs 87 and a low of Rs 81 on the BSE thus far. A total 673,227 shares were traded on the BSE so far.

Shares of Bajaj Hindusthan zoomed 7% to Rs 30 on the BSE. The stock opened at Rs 29.8, touched a high of Rs 30.8 and a low of Rs 29.4 on the BSE thus far. A total 3,227,534 shares were traded on the BSE so far.