Sugar Mar. futures traded negative yesterday and closed 0.35% lower for the fifth consecutive session largely due to low demand as huge stocks of sugar are lying with the traders following persistent supply from the sugar mills.
The falling raw sugar prices in global markets making it unviable for the sugar mills to participate in exports despite export sops. Sugar production has reached 16.71 million tonnes as on Feb 15 for the 2014-15 season, as against 14.53 million tonnes in the year-ago, a rise of 15%.
India's biggest sugar producing state, Maharashtra, is considering paying mills a subsidy of 1,000 rupees per tonne to help clear stocks.
Earlier, the Cabinet Committee on Economic Affairs (CCEA) has approved incentive scheme for marketing and promotion services of raw sugar production during 2014-15 (October-September) for a quantity of 1.4 million tonnes.
Outlook
Sugar futures may trade on a mixed to negative note, as raw sugar exports are unviable for the sugar companies and ample supplies of white sugar in the domestic market.Visit Here
http://www.epicresearch.co
GET FREE TRIAL +91 731 6642300
No comments:
Post a Comment
Note: only a member of this blog may post a comment.