As sugar industry body, Indian Sugar Mills Association (ISMA), has indicated the sugar production for the whole country is expected to be around 33 million tonnes, about 5,00,000 tonnes more than last year, sugar stocks have been rallying and could further continue its speed.
Five sugar stocks rose more than 40 per cent this year, which includes Balrampur Chini Mills, DCM Shriram, Uttam Sugar, Avadh Sugar and Triveni Engineering, while other sugar stocks such as Dalmia Sugar, Mawana Sugar, Dwarikesh Sugar, and Dhampur Sugar witnessed hike 10 to 40 per cent.
Sugar mills in Maharashtra have completed cane crushing. A total of 195 factories participated in the operation this season to produce 107.19 lakh tonnes of sugar at a recovery rate of 11.26 per cent.
According to the National Federation of Cooperative Sugar Factories (NFCSF), Uttar Pradesh has crushed 101.7 million tonnes of sugarcane and has produced 117 lakh tonnes of sugar with as many as 32 of total 119 mills in the state are still in operations till May 17.
It is expected that the rally for the sugar stocks will continue its pace this year ahead and also a good monsoon will also add value to the share price of these stocks.