India: Sugar gains on seasonal demand

NEW DELHI, APRIL 21:

Continuing its rising streak, sugar prices rose by 0.07 per cent to Rs 2,861 a quintal in futures trade today largely on the back of rising demand in the spot markets from bulk consumers, but higher supplies restricted gains.

At the National Commodity and Derivatives Exchange, sugar for delivery in July traded Rs 2 or 0.07 per cent higher at Rs 2,861 a quintal, with an open interest of 2,210 lots.

Similarly, sugar futures prices for delivery in May rose by Re 1 or 0.04 per cent to Rs 2,731 a quintal, with a business turnover of 36,580 lots.

Traders said the country’s sugar futures ended steady on Wednesday as higher supplies outweighed summer season demand.

Also, the Government’s decision to allow exports of 500,000 tonnes of white sugar supported the uptrend in the prices, they added.

Demand for the sweetener from ice-cream and cold-drink makers typically goes up during the summer months.

(Source: http://www.thehindubusinessline.com/markets/commodities/article1714795.ece)