Sugar Stocks Latest News: Tension in the market due to fall of rupee, but rise in sugar stocks, companies sign big deals…

Sugar Stocks Latest News: Tension in the market has increased due to the fall of rupee. However, sugar is one of the sectors that may benefit from the rupee’s depreciation. The fall of rupee has brought sugar companies into focus. Sugar companies have signed deals to export 1 lakh tonnes.

On November 14, the government had fixed the export quota of 1.5 lakh tonnes. Mills were worried about competition due to the fall in global raw sugar prices. The falling rupee is helping exporters negotiate contracts at better prices.

Most of the contracts were signed at Rs 88 per dollar. With the rupee crossing 90, more contracts are expected. Demand for sugar has increased from Afghanistan, Sri Lanka, Africa and West Asia.

Demand of sugar industry

Due to surplus in the domestic market, the sugar industry is demanding further increase in the export quota. The current quota for sugar mills is 5.286% of the 3-year average production.

Chinese shares in focus

Due to rupee weakness, shares of Balrampur Chini, Triveni Engineering, Shree Renuka, Dhampur, Mawana and Eid Parry are in focus.