Sugar stocks hit the sweet spot after govt okays Rs 3,500 cr export subsidy

The past 12 months have been good for investors in sugar stocks, as the sector has done better than the broader market. The combined market capitalisation (m-cap) of the top 15 sugar manufacturers such as EID Parry, Balrampur Chini, Dhampur Sugar, Shree Renuka Sugar, Bajaj Hindusthan Sugar, Triveni Engineering, and Dalmia Bharat Sugar among others has risen by 22.6 per cent year-on-year (YoY) since last December, against a 13 per cent rally in the benchmark BSE Sensex.
 

Sugar stocks have also outperformed the benchmark since the pandemic spread. The combined m-cap of the firms has more than doubled (up 115