The under current in sugar markets was firm on Monday.

In Vashi wholesale market, quality M-grade sugar went up by Rs 10-20 a quintal on higher demand while S-grade was unchanged.

Naka rates increased by Rs 10-30, tracking bullish sentiment in upper mill level.

Mill tender rates were up by Rs 20-30 as producers held back stocks but resale pressure for delivery by September 10 in the spot market curbed the volume, said traders. Desperate selling, mostly for M-grades by September 10 curbed prices and volume in the absence of neighbouring States buying.

Stockists continue to covering good quality M- grade sugar for festive season. In spot, sentiment was steady.

Last week, prices dropped due to sudden selling by some mills at lower rates due to weak local demand, lack of neighbouring states buying and bearish futures markets.

Sources said demand from north India and western parts was still weak but was expected to rise soon.

In Vashi market, arrivals were higher at 58-60 truckloads (each of 100 bags of quintal each) and local dispatches were 57-58 loads.

On Saturday evening, merely 6–7 mills offered tenders and sold about 35,000-38,000 bags (each of 100 kg) to local traders in the range of Rs. 3,420-3,480 (Rs 3,380-3,440 ) for S-grade and Rs 3,460 - 3,550 (Rs 3,450-3,530) for M-grade.

Bombay Sugar Merchants Association’s spot rates: S-grade Rs 3,482-3,581 (Rs 3,482-3,582) and M-grade Rs 3,562-3,741 (Rs 3,582-3,731). Naka delivery rates: S-grade Rs 3,440-3,520 (Rs 3,450-3,500) and M-grade Rs 3,540-3,670 (Rs 3,520-3,630).