Sugar fell in wholesale markets of Delhi and Muzaffaragar because of weak demand from stockists and bulk buyers. Prices declined about 10 rupees per 100 kg in Delhi and 15 rupees in Muzaffaragar. The prices remained unchanged in Kolhapur and Mumbai, key markets in western India. Prices also declined due to selling pressure on mills as they are liquidating inventories ahead of the end of the month.

Bhavninagar – Even after the three months of the crushing season, most of the factories did not provide full FRP. there is an outstanding of Rs 19,000 crore today and it is in the process of increasing the minimum sale price of sugar from the national level to Rs. 32 from Rs. 29 to 32

There is almost no demand from soft drink and ice-cream manufacturers right now. But we expect demand to pick up as the temperature starts warming from next week. Mills are in a hurry to sell their stocks for January due to which they are selling cost-to-cost without caring much about profits. Some are even doing so at lower than the minimum sale price. the government had capped overall sugar sales at 1.85 mln ton, lower than the 1.95 mln ton limit in December, with the aim of limiting supply and pushing up prices. This was done to help mills make timely payments to cane farmers.

February is a short month expect the quota to be marginally smaller. sugar futures rose in the international market as investors covered their short positions after prices hit a two-week low of 12.37 cents per pound on previous day. the front-month March raw sugar contract on the Intercontinental Exchange was at 12.53 cents a pound, up 0.7% from the previous close.