Also, reports of higher output this marketing year kept pressure on sugar prices.
Sugar for delivery in far-month October traded lower by Rs 17, or 0.71 per cent to Rs 2,378 per quintal with an open interest of 26,040 lots in futures trade.
Likewise, the sweetener for delivery in July shed Re 1, or 0.04 per cent to Rs 2,300 per quintal in 56,200 lots.
Analysts said offloading of positions by speculators, driven by huge supplies position in the physical market and reports of higher output, mainly influenced sugar prices at futures trade.