Sugar down marginally on profit-booking

Govt's warning to millers against failure to sell the entire quota allocated to them for Oct-Nov influences prices

Sugar, which surged to two-week high in yesterday's trade, declined by Rs 6 to Rs 3,385 per quintal in futures trade today on profit-booking by speculators.

At the National Commodity and Derivatives Exchange, sugar for delivery in November traded lower by Rs 6, or 0.18%, to Rs 3,385 per quintal, with an open interest of 40,630 lots.

December sugar shed Rs 4, or 0.12%, to Rs 3,316 per quintal, with a turnover of 19,220 lots.

At the Kolhapur spot market in Maharashtra, sugar fell by Rs 5 to Rs 3,545 per 100 kg in yesterday's trade.

Marketmen said the fall in sugar futures prices was due to profit-booking by speculators as prices soared to two-week high in yesterday's trade on festive season demand.

 

Besides, the government's statement that it is keeping a close watch on sugar sales by millers in the open market and warning against failure to sell the entire quota allocated to them for the October-November period also put pressure on the prices, they said.