Sugar Stock

Triveni Engineering & Industries shares were up 3.35 per cent, EID Parry was up 3.16 per cent, and Balrampur Chini Mills shares were up 1.58 per cent

Sugar stocks rose after the central government said it will consider the sugar industry's demand to hike ethanol prices and the minimum selling price (MSP) of sugar

Key players in the sector, including Shree Renuka Sugars, Dhampur Sugars, and Balrampur Chini Mills, were among the top gainers.

sugar mills and distilleries can produce ethanol from sugarcane juice/sugar syrup, B-Heavy molasses, as well as C-Heavy molasses, during ESY2024-25 as per their agreements with oil marketing companies

India's sugar production fell 11 per cent year-on-year to 74.05 lakh tonnes during the October 1-December 15 period of the current marketing year, mainly due to lower output in Maharashtra and Karnataka, according to industry body ISMA. The sugar marketing year runs from October to September. In a statement, the Indian Sugar Mills Association (ISMA) said that the sugar production till December 15 in the current 2023-24 marketing year reached 74.05 lakh tonnes against 82.95 lakh tonnes in the corresponding period of the previous year. The number of operating factories stood unchanged year-on-year at 497. "Notably, this year sugar factories in Maharashtra and Karnataka started around 10-15 days later compared to the last year," ISMA said. In Uttar Pradesh, sugar production has increased to 22.11 lakh tonnes till December 15 of the 2023-24 marketing year compared to 20.26 lakh tonnes in the year-ago period. However, the sugar output declined in Maharashtra to 24.45 lakh tonnes from

The government has given a final call to all legal entities engaged in sugar trade to declare their stocks on a food ministry website by October 17, and warned that strict action will be taken against those for violation. On September 23, the Food Ministry had issued an order directing all sugar stakeholders -- wholesalers, retailers, big chain retailers and processors -- to weekly update their stock position on its website. The Ministry, however, observed that many of the legal entities dealing with sugar trade/storage have "still not registered" themselves on the sugar stock management system. "Various instances have been reported to the Directorate of Sugar and Vegetable Oils, where many of these legal entities are having possession of a substantial quantity of unreported sugar stocks," the ministry said in a letter written to all stakeholders. There are cases where these entities are not updating their sugar stock on a regular basis, it said, adding this not only violates the .

Should you be worried about credit card bills? Is Smriti Mandhana the Kohli of women's cricket? Can sugar stocks sweeten your portfolio? Cricket World Cup 2023: All you wanted to know

Among individual stocks, Shree Renuka Sugars, Ugar Sugar and EID Parry have zoomed up to 169 per cent so far in 2022. Charts indicate further upside for these select stocks.

The sector needs an outlet for the surplus stock. Government must allow export; otherwise, the industry will needlessly be pushed into the red

The 20% ethanol blending target has seen sugar sector majors betting on expanding the ethanol capacity; the sector could see an investment of about Rs 10,000 crore in the years ahead

Cites production increase to 36 million tonnes from 35 million tonnes last season

Analysts believe that the government's curb on 10 metric ton sugar exports would not cause a major impact as their expectation was lower than the limit for this year.

Select sugar stocks like Balrampur Chini, Dwarikesh Sugar and Renuka had jumped up to 6-fold post the Covid-19 decline; However, off late the stocks have corrected sharply post export limitations.

Experts feel this could keep prices of major farm commodities and products dependent on them, such as poultry and meat, at an elevated level for quite some time

Magadh Sugar & Energy, Rana Sugar, Uttam Sugar Mills, KM Sugar, Andhra Sugar, Mawana Sugar and Shree Renuka Sugar surged 10 per cent to 15 per cent on the BSE.

With a favourable mix of ethanol towards B-heavy/juice (feedstock) coupled with higher sugar realisations; operating margins of sugar companies are expected to improve.

Shares of Triveni Engineering hit a new high of Rs 285.30, on rallying 9 per cent in intra-day trade. The stock zoomed 313 per cent from its 52-week low of Rs 69 touched on February 16, 2021.

Tight global demand-supply situation, favourable government policies and continuous push for higher blending will keep the inventory levels under control and sugar prices firm

Balarmpur Chini, Triveni Engineering, Shree Renuka, Dhampur Sugar, Dalmia Sugar and Avadh Sugar gained in the range of 4 per cent to 8 per cent in Tuesday's intraday trade

ICICI Securities believes this would encourage sugar companies to further add sugarcane juice and grain-based ethanol capacities