Mumbai, May 13:

Sugar prices, which are on a bearish trend, are likely to trade unaltered and are not expected to decline further.

Sources said, “Sugar prices are not expected to go down from the current level as it is already ruling near Rs 3,000 far below the cost of production and with the rise in temperature prices may show some improvement. Sugar is under pressure of ample supply since Diwali. In last three working days, with rise in mercury, producers offloaded about 1.50- 1.75 lakh bags in the State level markets barring Mumbai”.

Sugar futures ruled weak on Monday on profit booking while in physical market remained steady.

Mill tender rates extended gain further by Rs 5-10 a quintal on higher demand due to rising temperature.

Vashi sugar market currently carries sufficient more than 100 truck loads inventory stocks so there is no question of shortage.

There are no new arrivals or local dispatches of sugar since May 1 in Vashi.

On Saturday evening, 16-17 mills offered tenders and sold 58,000-60,000 bags at Rs 2,960-3,040 (Rs 2,950-3,030) for S-grade and Rs 3,040-3,100 (Rs 3,020-3,080) for M-grade.

On the NCDEX, sugar June futures dropped by Rs 18 to Rs 3,032 , July was down by Rs 26 to Rs 3,065 and August by Rs 34 to Rs 3,122.