Sugar prices ruled unchanged for the third consecutive day on less than expected demand due to rain in city and poor retail offtake.

On the spot, M-grade lost Rs 10 a quintal. Naka rates were steady. Mill tender prices declined by Rs 5-10 tracking continuous drop in futures.

Sources said that the market lost its direction on buyers’ resistance as futures failed to regain strength. Trading was routine.

However, retail demand for Ramzan improved slightly but high supply and ample inventory in the market are keeping prices on check.

The price is likely to remain range-bound. After long gap, producers sold two rakes (27,000 bags each) of S-grade to eastern side buyers.

Local stockist purchases were limited.

Arrivals in Vashi market were 61-62 truckloads (of 100 bags each) and local offtake was flat.

On Tuesday, about 15-16 mills offered tenders and sold about 78,000-80,000 bags including 54,000 bags to upcountry buyers and 23,000-25,000 bags to local traders at Rs 2,935-3,000 (Rs 2,940-3,000) for S-grade and Rs 3,030-3,110 (Rs 3,040-3,120) for M-grade.

The Bombay Sugar Merchants Association's spot rates were: S-grade Rs 3,066-3,145 (Rs 3,066-3,145) and M-grade Rs 3,182-3,311 (Rs 3,192-3,311). Naka delivery rates were: S-grade Rs 3,010-3,080 (Rs 3,010-3,080) and M-grade Rs 3,120-3,230 (Rs 3,120-3,230).