Mumbai, Aug 1:

Sugar prices on the Vashi wholesale market declined by Rs 5-10 a quintal for fair quality, while the bold variety remained unchanged on Thursday.

Naka and mill tender rates ruled steady on routine activities. In the absence of neighbouring States buying, Maharashtra’s mills are forced to concentrate on local market resulting in ample supply at local level. Prices in other producing centres were ruling at par with Maharashtra.

Futures market continued the bearish trend with loss of Rs 10-17 till noon, said sources.

Vashi-based traders are of view that “Retailers demand is expected to pick up this month after a month long rest due to host of festivals in line.

“In July, due to higher supply, prices in physical market dropped by Rs 10-20 while in futures market, August-September dropped by Rs 40-60 due to higher production and stock”. On Wednesday evening, 15-16 mills offered tenders and sold about 44,000 – 45,000 bags at Rs 2,900-2,970 (Rs 2,900-2,970) for S-grade and Rs 2,980-3,120 (Rs 2,980-3,120) for M-grade.

On the National Commodities and Derivatives Exchange, sugar September futures declined to Rs 3,018 (Rs 3,029), October to Rs 3,032 (Rs 3,042) and November by Rs 17 to Rs 2,996 (Rs 3,013).

The Bombay Sugar Merchants Association’s spot rates were: S-grade Rs 3,048-3,132 (Rs 3,052-3,132) and M-grade Rs 3,156-3,301 (Rs 3,160-3,311). Naka delivery rates were: S-grade Rs 3,000-3,050 (Rs 3,000-3,050) and M-grade Rs 3,080-3,190 (Rs 3,080-3,190).