Mumbai, Aug 14:

Sugar prices continued to rule steady for the fifth consecutive day on Wednesday despite improvement in retail demand on the market remaining closed on August 15.

Spot and naka prices were unchanged tracking steady trend at upper mill level.

Mill tender rates were steady on routine demand.

Sources said that traders expect the market to see range-bound volatility, considering the higher cost of production and need-based demand.

Retail demand improved ahead of festivals but still not up to the mark.

Stockists kept away from bulk buying as ample stocks are available in the market. Mills are saddled with huge inventories, and are trying to sell the surplus to cut down stocks before the start of the new season.

Arrivals in the Vashi wholesale market were 63-64 truckloads (each 100 bags) while local dispatches were 62-63.

On Tuesday evening, only 11-12 mills offered tenders and sold about 35,000-37,000 bags at Rs 2,910-3,000 (Rs 2,910-3,000) for S-grade and Rs 3,010-3,110 (Rs 3,000-3,110) for M-grade.

On the National Commodities and Derivatives Exchange, sugar September futures were lower by Rs 5 to Rs 3,013 (Rs 3,018), October declined to Rs 3,024 (Rs 3,030) and November was up by Rs 10 to Rs 3,016 (Rs 3,006) till noon.

The Bombay Sugar Merchants Association’s spot rates were: S-grade Rs 3,052-3,142 (Rs 3,052-3,142) and M-grade Rs 3,156-3,352 (Rs 3,172-3,352).

Naka delivery rates were: S-grade Rs 3,010-3,070 (Rs 3,010-3,070) and M-grade Rs 3,100-3,210 (Rs 3,100-3,210).