Sugar down 0.6% on ample stocks

Commodity for delivery in July contracts declined 0.53%

Sugar prices were down 0.59 per cent to Rs 2,356 per quintal in futures trade as speculators cut down positions largely due to persistent supplies from mills.

Also, reports of higher output this marketing year kept pressure on sugar prices.

At the National Commodity and Derivatives Exchange, sugar for delivery in October moved down Rs 14, or 0.59 per cent, to Rs 2,356 per quintal with an open interest of 32,030 lots.

Similarly, the sweetener for delivery in July contracts declined Rs 12, or 0.53 per cent, to Rs 2,273 per quintal in 51,230 lots.

Analysts said offloading of positions by speculators, driven by persistent supplies from mills amid reports of higher output, mainly pulled down sugar prices.

Country's sugar production is estimated to touch an all-time high of 28.3 million tonnes (MT) in the ongoing marketing year, 2014-15, as mills have already manufactured 27.95 MT so far, according to industry body Indian Sugar Mills Association.