Prices may drop further on month-end selling

Sugar prices across major cash markets in the country are seen weakening further with month-end selling pressure gathering pace, dealers and analysts said today.

They said lower-than-expected summer demand will dent prices further. "The demand has hardly risen even as summer picks up. Bulk buyers are also making limited purchases as they anticipate prices to fall further," said a broker in Muzzaffarnagar.

With the month end approaching, selling pressure has increased as mills are trying to sell off the commodity.