Ample supply drags down sugar futures by 0.28%

Speculators pare exposure on higher supplies from mills

Sugar prices softened 0.28 per cent to Rs 2,830 per quintal in futures market today as participants reduced exposure, driven by adequate stocks at the spot market on higher supplies from mills.

In futures trading at the National Commodity and Derivatives Exchange, sugar for delivery in December declined by Rs 8 or 0.28 per cent to Rs 2,830 per quintal with an open interest of 48,410 lots.

Similarly, the sweetener for delivery in far-month March next year contracts eased by Rs 6 or 0.20 per cent to Rs 2,970 per quintal in 84,990 lots.

Marketmen said offloading of positions by participants triggered by ample stocks position in the physical market on higher supplies from mills, mainly kept pressure on sugar prices at futures trade.