Welcome Guest!
|
Members Log In
Close Panel
Home
About us
Ethanol
Cogeneration
Environmental
Statistics
Distillery
Sugar Price
Sugar Process
Contact us
Sugar & Health
ID:
4
Date:
02-11-2011
Headline:
Sugar traders worried about softening prices
Writer:
Source:
PDF:
The Hindu Business Line on November 2 has carried a news report titled `Mills curb despatches to cap sugar`s fall`. The report validates ISMA`s stand that there has been a sharp decline in sugar demand post Diwali. The report says that on Tuesday, mill tender rates declined by Rs 20-40 a quintal. The usual lower demand after Diwali cooled spot rates further by Rs 5-10 in the Vashi wholesale market.
A wholesaler said that ample free-sale quota for November will not allow the market to go up due to usual lower demand after the Diwali festival. Pressure on traders for lifting October`s purchases will keep them away from fresh buying this week. In the second fortnight, selling pressure on mills may be seen due to the availability of free sale quota of 17.01 lakh tonnes for the month.
The paper has also quoted sugar traders belonging to the Bombay Sugar Merchants Association as saying that India will have a higher sugar production for the second consecutive year, which will lead to surplus if exports are not allowed. The extremely high non-levy sugar quota of 17 lakh tons for the month of November will prove detrimental for the sugar industry. Such a decision may prove to be disastrous for the sugar mills when the crushing season is just about to begin and the requirement to pay to the cane farmers would be highest during the next 4-5 months. The sugar price realization to mills has to be reasonable to ensure minimum cane price arrears. It has to be understood that abnormally low ex-mill price is detrimental not only to the sugar mills but also to the sugarcane farmers, especially during the crushing months between November and April.
Navigation
TV Interviews
Application Form For Associate Membership
Terms & Conditions (Associate Member)
ISMA President
Org. Structure
Associate Members(Regional Association)
Who Could be Member?
ISMA Committee
Past Presidents
New Developments
Publications
Acts & Orders
Landmark Cases
Forthcoming Events