NEW DELHI, June 5: Sugar prices fell further by 0.40 per cent to Rs 2,235 per quintal in futures trading as speculators started trimming positions, triggered by higher supplies from mills against lower demand from bulk consumers.
Also, reports of higher output this marketing year kept pressure on sugar prices.
At National Commodity and Derivatives Exchange, sugar for delivery in July declined Rs 9, or 0.40 per cent, to Rs 2,235 per quintal with an open interest of 50,180 lots.
Likewise, the sweetener for delivery in October contracts traded lower by Rs 8, or 0.34 per cent, to Rs 2,316 per quintal in 31,760 lots.
Analysts said offloading of positions by speculators, driven by persistent supplies from mills amid reports of higher output, mainly kept pressure on sugar prices.
According to Indian Sugar Mills Association, country’s sugar production is estimated to touch an all-time high of 28.3 million tonnes (MT) in the ongoing marketing year, 2014-15 as mills have already manufactured 27.95 MT so far. (PTI)
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