Sugar prices in the Vashi wholesale market declined after rising for the last seven days on Thursday as demand eased.

Traders kept away from fresh buying and release of more stocks on hand resulted in resale selling pressure in the markets.

Prices in the spot market and at naka level dropped by Rs 10-15 a quintal. Mill tender rates were unchanged on continuous support of local demand forGaneshotsav festival .

Sources said that stockists kept away from fresh buying to avoid building up more inventory.

Stockists concentrated on selling to retailers. In the market, most active volumes were in resale.

Demand from neighbouring States of Maharashtra is also expected to rise in the next few days. Currently, the Vashi sugar market is carrying an inventory of 8,000 – 9000 bags approximately, sources said.

A wholesaler said that selling pressure to exhaust the sugar quota under the open sale scheme for August that expires on September 10 may continue till this weekend if local retail demand does not improve.

In Vashi market arrivals from producing level were about 58-60 truck loads (each of 100 bags of quintal each) and local dispatches were 54-55 loads.

On Wednesday evening 15–16 mills offered tenders and sold about 75,000–80,000 bags (each of 100 kg) to local traders in the steady range of Rs. 3,460-3,540 (Rs 3,460-3,540 ) for S-grade and Rs 3,550 - 3,680 (Rs 3,550-3,680) for M-grade.

Bombay Sugar Merchants Association's spot rates: S-grade Rs 3,566-3,625 (Rs 3,572-3,632) and M-grade Rs 3,626- 3,791 (Rs 3,631-3,801). Naka delivery rates: S-grade Rs 3,520 -3,570 (Rs 3,540 - 3,580) and M-grade Rs 3,600-3,680 (Rs 3,610-3,730).