 "Sugar stocks rally after government fixes ethanol price for OMCs")
Shares of sugar companies have rallied by up to 13% on the bourses after the government fixes a price of Rs 48.50-49.50 per litre for procurement of ethanol for blending with petrol.
The Cabinet Cabinet Committee on Economic Affairs (CCEA) fixed the delivered price of Ethanol in the range of Rs 48.50 per litre to Rs 49.50 per litre, depending upon the distance of sugar mill from the depot/installation of the public sector oil marketing companies (OMCs), the PTI report suggests.
The rate fixed by the government is much higher than the price oil companies presently pay to buy the sugarcane extract. Oil firms presently pay about Rs 29/litre for ethanol, added report.
Simbhaoli Sugars has rallied 13% at Rs 16 on BSE, followed by Bajaj Hindusthan (8% at Rs 22.75), Shree Renuka Sugars (7.8% at Rs 18.15), Balrampur Chini Mills (up 7.5% at Rs 63.05) and Dhampur Sugar Mills (6.6% at Rs 48.65). The benchmark S&P BSE Sensex was down 0.44% at 27,709 at 0924 hours.
The Cabinet Cabinet Committee on Economic Affairs (CCEA) fixed the delivered price of Ethanol in the range of Rs 48.50 per litre to Rs 49.50 per litre, depending upon the distance of sugar mill from the depot/installation of the public sector oil marketing companies (OMCs), the PTI report suggests.
The rate fixed by the government is much higher than the price oil companies presently pay to buy the sugarcane extract. Oil firms presently pay about Rs 29/litre for ethanol, added report.
Simbhaoli Sugars has rallied 13% at Rs 16 on BSE, followed by Bajaj Hindusthan (8% at Rs 22.75), Shree Renuka Sugars (7.8% at Rs 18.15), Balrampur Chini Mills (up 7.5% at Rs 63.05) and Dhampur Sugar Mills (6.6% at Rs 48.65). The benchmark S&P BSE Sensex was down 0.44% at 27,709 at 0924 hours.
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →*Subscribe to Business Standard digital and get complimentary access to The New York Times
Smart Quarterly
₹900
3 Months
₹300/Month
SAVE 25%
Smart Essential
₹2,700
1 Year
₹225/Month
SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months
Super Saver
₹3,900
2 Years
₹162/Month
Subscribe
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
SAVE 25%