Sugar prices continued their bullish trend on Wednesday. Rates in the Vashi wholesale spot markets extended gain by Rs 50 a quintal for fine variety S–grade on higher demand, while M-grade rose marginally by Rs 10 as demand eased. Naka prices improved by Rs 20-30 tracking extended rise in mill tender rates that were up by Rs 20-60 a quintal.

Jagdish Rawal of B. Bhogilal and co said that mills are continuously getting supports from stockists that is keeping the sentiment firm. In the physical market, despite higher retail demand, the inventory on hand is putting pressure. Steady increase in arrivals kept the sentiments cautious.

In Vashi market, arrivals were were more than 60 truckloads (each of 100 bags of quintal each) and local dispatches were 58-60 loads. On Tuesday evening, 15-16 mills offered tenders and sold about 78,000-80,000 bags (each of 100 kg) on second consecutive day in the higher range of Rs 3,460-3,530 (Rs 3,440-3,500 ) for S-grade and Rs 3,550 - 3,640 (Rs 3,500-3,580) for M-grade.

Bombay Sugar Merchants Association's spot rates: S-grade Rs 3,552-3,666 (Rs 3,546-3,611) and M-grade Rs 3,621-3,781 (Rs 3,612-3,781). Naka delivery rates: S-grade Rs 3,530-3,570 (Rs 3,500-3,570) and M-grade Rs 3,600-3,700 (Rs 3,600-3,680).