ChiniMandi, Mumbai: Friday 3rd April 2020
Domestic Market: With the lockdown nationwide, trades in larger quantities aren’t taking place smoothly. Maharashtra: S/30 Sugar rates are Rs.3050 to Rs.3140/Qntl.
South Karnataka: S/30 rates are Rs.3370 to 3450 whereas M/30 rates are Rs.3425 to 3500/Qntl.
Uttar Pradesh: The rates for M/30 rates are Rs.3180 to Rs.3260/Qntl.
Gujarat: The rates for S/30 are Rs.3355 to 3431 whereas M/30 are at 3385 to 3510/Qntl.
Tamil Nadu: S/30 Sugar rates are Rs.3500 to Rs.3600 whereas M/30 rates are Rs.3550 to 3650.
*All the domestic rates except Kolkata are excluding GST
International: According to reports, Sugar prices on Thursday settled mixed with London sugar at a 2-week low. NY sugar moved higher after crude prices surged more than 15% on Thursday after President Trump said he expects Saudi Arabia and Russia to cut oil production after he spoke with Saudi Crown Prince Mohammed Bin Salman. The surge in crude oil sparked short-covering in sugar futures. The surge in oil prices is bullish for ethanol prices and may encourage Brazil’s sugar mills to divert more cane crushing toward ethanol production rather than sugar production, thus reducing sugar supplies.
Overall weakness in the Brazilian real against the dollar is a major bearish factor for sugar prices. The real on Thursday fell -0.48% against the dollar and posted a new record low of 5.2837 reals/USD. A weaker real encourages export selling by Brazil’s sugar producers.
London White Sugar front month contract is trading at $335.50/tn whereas US Sugar front month contract is trading at 10.41/lb at the time of writing this update.
Currency, Commodity & Indian Indices:
The rupee traded against the US dollar at 76.254 whereas USD traded with BRL at 5.2938, Crude futures traded at Rs.2052, Crude WTI traded at $26.75. Indices ended in the red, sensex closed 674.36 points lower at 27,590.95. Similarly, Nifty ended 170 points lower at 8,083.80.