Ample stocks drag down sugar futures by 0.44%

Sugar prices drifted lower by 0.44 per cent to Rs 2,740 per quintal in futures trading today as participants reduced exposure, triggered by adequate stocks at the spot market on higher supplies from mills.
Higher output reports too weighed on sugar prices.
At the National Commodity and Derivatives Exchange, sugar for delivery in December month fell by Rs 12, or 0.44 per cent, to Rs 2,740 per quintal with an open interest of 51,030 lots.
Similarly, the sweetener for delivery in far-month March next year contracts traded lower by Rs 7, or 0.24 per cent, to Rs 2,891 per quintal in 81,120 lots.

Meanwhile, India's sugar production rose 24 per cent to 23.60 lakh tonnes (LT) in the first two months of the current marketing year on higher output from Maharashtra.
Analysts said offloading of positions by participants triggered by ample stocks position in the physical market on higher supplies from mills, mainly led to decline in sugar prices at futures trade.