Sugar prices slip

COMMODITY SPIKES

The gain of Rs 50 per quintal in sugar prices on the government's decision to create a buffer stock on June 21 has not sustained.

Sugar prices that went up to Rs 1,350 per quintal after the buffer stock decision has slipped down to Rs 1,300-1,320 per quintal levels.

In June, the government had announced the creation of a 3 million-tonne buffer stock, over and above the 2 million tonnes created in April.

"No sop or relief announcement by the government has been able to give support to prices. Moreover, no additional incentive is expected in the near-term for the sugar industry, which means the prices will remain range bound," said an analyst.