Sugar futures move up by 0.87% on rising spot demand

Sugar prices rose by 0.87 per cent to Rs 2,559 per quintal in evening session in futures trade today as participants enlarged positions, taking positive cues from spot market on rising demand in view of summer season.
However, adequate stocks position in the physical market on higher supplies from mills and reports of higher output, restricted the rise.
The exchange opened for the evening session as it remained closed in the morning for "Budha Purnima".
At the National Commodity and Derivatives Exchange, sugar for delivery in July was trading higher by Rs 22, or 0.87 per cent to Rs 2,559 per quintal with an open interest of 28,080 lots.

Likewise, the sweetener for delivery in May traded higher by Rs 9, or 0.37 per cent to Rs 2,430 per quintal in 32,330 lots.
Analysts attributed the rise in sugar futures to pick-up in summer season demand from bulk consumers such as ice-cream and soft drink makers but ample stocks in the market on increased supplies by mills and higher output reports capped the gains, they said.
Meanwhile, the country's sugar production has increased by 14.27 per cent to 27.37 million tonnes till April of the 2014-15 marketing year, industry body ISMA said.