Sugar soars on brisk buying, tight supply

Sugar prices rallied by up to Rs 190 per quintal at the wholesale market in the national capital today following immense buying by stockists and bulk consumers amid thin supplies from mills.

Marketmen said stockists and bulk consumers, such as soft-drink and ice-cream makers rushed to enlarge stocks on fears government would soon implement some measures to prevent falling sugar prices, mainly brought the sharp upsurge in sugar prices.

Before this, the government has already doubled sugar import duty to 100 per cent and scrapped export tax and has also asked mills to export 2 million tonnes sugar, under the Duty Free Import Authorisation (DFIA) scheme, under which exporters are allowed to import sugar at zero duty within three years.

Apart from, tight supplies from mills, too, helped to push up sweetener prices, they said.

In price section, sugar mill delivery M-30 and S-30 jumped up by Rs 190 each to end the day at Rs 2,770-3,030 and Rs 2,760-3,020 per quintal.

Sugar ready M-30 and S-30 prices also climbed up by Rs 100 each to conclude at Rs 3,000-3,180 and Rs 2,990-3,170 per quintal.

In mill gate section, sugar Kinnoni and Shamli shot up by Rs 190 each to Rs 3,030 and Rs 2,890, while Budhana and Thanabhavan hardened by Rs 180 each to Rs 2,920 and Rs 2,930 per quintal.

Sugar Mawana and Dhanora spurted by Rs 170 each to Rs 2,930 and Rs 2,980, while Khatuli gained by Rs 165 to Rs 2,995 per quintal.

Following are today's quotations (in Rs per quintal)