India Sugar
Down in north as lower rates fail to attract demand
This story was originally published at 17:36 IST on 21 May 2025
Register to read our real-time news.Informist, Wednesday, May 21, 2025
By Taniva Singha Roy
MUMBAI – Ex-mill prices of sugar in key markets of Uttar Pradesh fell again Wednesday as demand failed to pick up even after mills cut rates, said traders. Mills in Maharashtra continued to keep prices steady, they said.
Mills across Uttar Pradesh cut prices by INR 35-INR 40 per 100 kilograms, due to sluggish demand even at lower rates, said Naresh Gupta, a trader from north India. The downtrend is expected to continue as demand is unlikely to pick up, he said. Prices in resale markets of the state fell by INR 15-INR 20 per 100 kg due to weak demand, Gupta said.
Normally, demand from institutional buyers – like ice cream and cold-drink manufacturers - rises during summer. However, demand for sugar has been low this summer due to availability of healthier alternatives, he added.
As there are only a few days left for millers to meet the monthly sales quota of 2.35 million tonnes, they will lower rates further so that demand picks up in the coming days, Gupta said.
Prices of the sweetener remained flat in Maharashtra as demand matched supply, said Mukesh Kuvadia, secretary of the Bombay Sugar Merchants Association. Mills will also have to meet their monthly sales quota. Hence, prices could fall in the coming days due to weak demand, he added.
The following are the highlights of sugar prices in the domestic market:
--Down INR 35-INR 40 at INR 3,860-INR 3,975 per 100 kg in western Uttar Pradesh
--Down INR 35-INR 40 at INR 3,860-INR 3,975 per 100 kg in central Uttar Pradesh
--Flat at INR 3,840-INR 3,880 per 100 kg in Kolhapur, Maharashtra
--Flat at INR 4,012-INR 4,072 per 100 kg in Mumbai, Maharashtra
At 1614 IST, sugar prices on the Intercontinental Exchange rose 1.2% to 17.55 cents per pound, tracking a rise in crude oil prices on the New York Mercantile Exchange. Higher crude oil prices encourage diversion of sugarcane for the production of ethanol, leading to a fall in sugar supplies. End
US$1 = INR 85.63
Edited by Nishant Maher
For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.
Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd by NSE Data & Analytics Ltd, a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt Ltd.
Informist Media Tel +91 (22) 6985-4000
Send comments to feedback@informistmedia.com
© Informist Media Pvt. Ltd. 2025. All rights reserved.
To read more please subscribe
Share this Story:
