desidata
12-11-2007, 03:25 PM
Sugar prices in India are likely to fall by 1,000 rupees ($25.4) a tonne, extending steady losses of recent months, as sugarcane crushing gathers momentum, the head of a leading sugar producing firm said on Monday.
Prices in the world's second-biggest producer are around 13,350 rupees per tonne, and mills already struggling with huge stocks fear prices will tumble further as new season sugar trickles into markets. "Inventories will get built up," Narendra Murkumbi, managing director of Shree Renuka Sugars Ltd, said in an interview.
"The current scenario is not so good." According to industry estimates, India, also the biggest sugar consumer, produced a record a 28.4 million tonnes in the year to September 2007, and the output is expected to touch 30-32 million tonnes this year.
Prices in the world's second-biggest producer are around 13,350 rupees per tonne, and mills already struggling with huge stocks fear prices will tumble further as new season sugar trickles into markets. "Inventories will get built up," Narendra Murkumbi, managing director of Shree Renuka Sugars Ltd, said in an interview.
"The current scenario is not so good." According to industry estimates, India, also the biggest sugar consumer, produced a record a 28.4 million tonnes in the year to September 2007, and the output is expected to touch 30-32 million tonnes this year.