CCI fines wipe out a third of sugar stocks' fortnightly gain in just 3 days

CCI levies penalty of Rs 380 million on 18 sugar mills for ethanol price rigging in OMCs tender five years ago

About one-third of sugar mills’ share price gains in the first fortnight of September were wiped out the past three days, due to the penalty levied by anti-trust regulator, the Competition Commission of India (CCI).

Following a number of sops announced by the government, the composite index indicating share prices of sugar mills rose 36 per cent between September 4 and 17. During this period, the government raised ethanol prices by as much as 25 per cent for the sugar season 2018-19 beginning October 2018, apart from allowing direct conversion of ethanol from sugarcane. The move was aimed to bail