Sugar prices ruled unchanged on Thursday on ample supply from mills.
While S-grade sugar ruled unchanged, fair quality M-grade lost Rs 8 a quintal on the wholesale spot market on Thursday. While supply from mills increased, demand from eastern parts, particularly West Bengal, eased. Traders expect demand to rise as a weaker rupee against the dollar may help boost exports.
A Vashi based wholesaler said that sugar prices rule unchanged with minor changes on increased supply from millers as demand from West Bengal side eased at the upper level.
New demand from West Bengal after a gap of three months had pushed up prices by Rs 40-50 a quintal during the first two days of the week. Eastern buyers covered about 8-10 rail rakes (each of about 25,000 bags) from Maharashtra.
In the local market, demand is expected to ease from next week, as usual during the middle of a month. Currently, demand from local stockists and Gujarat and Rajasthan is keeping the market afloat. In Vashi, 50-52 truckloads arrived and 47-48 truckloads were despatched locally.
On Wednesday evening, about 15-16 mills offered tenders and sold about 65,000-66,000 bags at Rs 2,830-2,930 (Rs 2,810-2,920) for S-grade and at Rs 2,930-3,010 (Rs 2,920-3,000) for M-grade.
The Bombay Sugar Merchants Association's spot rates: S-grade Rs 2,952-3,011 (Rs 2,950-3,012) and M-grade Rs 3,032-3,171 (Rs 3,040-3,161).
Nakadelivery rates: S-grade Rs 2,920 -2,970 (Rs 2,930-2,960) and M-grade Rs 3,000-3,070 (Rs 3,000-3,080).