Lower production in Brazil and Thailand, the two largest sugar exporters in the world, could result in higher opportunities for domestic exporters
The industry is undertaking huge capacity expansion programmes to meet the ethanol requirement of 10 billion litre by 2025
KCP Sugar & Industries, Uttam Sugar Mills and Avadh Sugar & Energy were up between 8 per cent and 18 per cent on the BSE
Avadh Sugar & Energy, Uttam Sugar Mills, Triveni Engineering & Industries, Mawana Sugars, Shree Renuka Sugars and Dhampur Sugar Mills were up in the range of 4 per cent to 7 per cent on the BSE.
According to a Reuters report, India's 2019-20 sugar production should fall to 26.9 million tonnes, 1.3 million tonnes below an August projection.
Attractive returns in the cattle-feed market are prompting farmers to sell sugar cane as fodder
It also decided to keep Fair and Remunerative Price (FRP) of sugarcane unchanged at Rs 275 per quintal for 2019-20 marketing year
Shree Renuka Sugars, Uttam Sugar Mills, Dalmia Bharat Sugar, Ugar Sugar Works, Dhampur Sugar Mills, Magadh Sugar & Energy, and Dwarikesh Sugar were up in the range of 6-12 per cent.
Earlier in March, the government announced a soft loan of Rs 12,900 crore for sugar mills to create ethanol capacity.
Charges will be reimbursed to mills at Rs 29 per kg of sugar price, as opposed to the all-India average cost of production of Rs 35-36 a kg
Triveni Engineering, Dwarikesh Sugar, Balrampur Chini, Kesar Enterprises, Magadh Sugar and Simbhaoli Sugars were trading down in the range of 5% to 8% on the BSE at 02:27 pm.
Prices are stable now and are expected to remain so in the coming festival season, the minister said