Sugar shares rally in a weak market; Balrampur Chini surges 9%

The industry is undertaking huge capacity expansion programmes to meet the ethanol requirement of 10 billion litre by 2025

Shares of sugar companies, on Thursday, rallied up to 9 per cent on the BSE in intra-day trade in an otherwise weak market on expectation of improved earnings growth in the March quarter (Q4FY21). The improvement is expected to come on the back of the subsidy announced in December 2020 and a strong momentum in exports.

Balrampur Chini Mills, Uttam Sugar Mills, Dalmia Bharat Sugar and Industries, Dhampur Sugar Mills, EID Parry (India), Dwarikesh Sugar Industries and Triveni Engineering & Industries were up in the range of 4 per cent to 9 per cent on the BSE. In comparison,