Weekly Review-Sugar
19-Oct-2024 07:02 PM
Limited fluctuations in sugar prices with normal business
New Delhi. Despite the festive season, no significant increase is being seen in the demand for sugar nor is it being used heavily for industrial purposes, while the temperature in northern India is still high. It appears that the free sale quota of 25.50 lakh tonnes fixed for the month of October is succeeding in putting pressure on the sugar market. Generally, there has been a trend of increase in demand, consumption and price of sugar during the peak festive season, but this time limited fluctuations were recorded in the price of sugar during the week of October 12 to 18.
Mill Delivery Price
During the week under review, the mill delivery price of sugar remained soft at Rs 60 in eastern Uttar Pradesh, Rs 15 in western Uttar Pradesh and Rs 5 per quintal in Madhya Pradesh and remained stable at the previous level in Punjab, while it remained higher by Rs 10 in Bihar and Rs 20-30 per quintal in Gujarat.
Spot Price
The spot market price of sugar also remained stable at Rs. 4200/4330 per quintal in Delhi and Rs. 3950/4050 per quintal in Indore during this period, while it softened by Rs. 25/30 per quintal in Raipur, Chhattisgarh. Sugar prices also fell by Rs. 20 to Rs. 3730/3930 per quintal in Mumbai (Vashi) market and Naka Port delivery price fell by Rs. 20 to Rs. 3680/3880 per quintal. Spot price of sugar in Kolkata remained at the old level of Rs. 4050/4150 per quintal.
Tender
A steep fall was recorded in the tender price of sugar. It fell by Rs. 50-70 to Rs. 3525/3750 per quintal in Maharashtra and by Rs. 20 to Rs. 90 to Rs. 3560/3640 per quintal in Karnataka. The new marketing season for crushing sugarcane and production of sugar has officially begun from 1 October and sugar production is expected to increase continuously for the next few months. The industry also has a good stock of sugar. Sugar business and prices are expected to improve in the coming days as the demand for Diwali is about to come out.