Mumbai, Aug 29:

Sugar prices eased by Rs 5-10 a quintal at the upper level on Thursday as millers continued selling surplus stocks.

The spot market was closed due to Janmashtami. The Bombay Sugar Merchants Association was closed.

Nominal rates in spot and naka level were down by Rs 5-8 due to slack month-end demand. Prices on the domestic futures market declined on profit booking. Mukesh Kuwadia, Secretary of Bombay Sugar Merchants Association, said that continuous selling by producers pulled down prices. As the market was closed, there were no loading-unloading in the market.

Sources said that the Vashi wholesale market is carrying over 120 truckloads of inventories. Supply from millers is ample as the neighbouring States buying is lacklustre forcing Maharashtra’s mills to sell commodity in the local markets.

Arrivals in the Vashi market were 25-30 truckloads (each of 100 bags) but were not unloaded. There was no lifting from the market.

On Wednesday evening, hardly 10-12 mills offered tenders and sold 32,000- 35,000 bags at Rs 2,885-2,980 (Rs 2,890-2,990) for S-grade and Rs 3,000-3,070 (Rs 3,000-3,080) for M-grade.

On the National Commodities and Derivatives Exchange, sugar September futures were lower by Rs 5 to Rs 3,003 (Rs 3,008), October declined by Rs 14 to Rs 3,028 (Rs 3,042) and November Rs 10 to Rs 3,060 (Rs 3,070).

Nominal spot rates were: S-grade Rs 3,048-3,132 (Rs 3,050-3,140) and M-grade Rs 3,160-3,355 (Rs 3,166-3,362) and Naka delivery rates were: S-grade Rs 2,975-3,030 (Rs 2,980-3,040) and M-grade Rs 3,065-3,190 (Rs 3,070-3,200).

Uttar Pradesh rates were: Lakhimpur Rs 3,300 and Muzzafarnagar Rs 3,320.