Supported by a pick up in demand and low quota for July, sugar futures prices rose by 0.61% to Rs 2,817 per quintal today as speculators enlarged their positions.
At the National Commodity and Derivatives Exchange, sugar for August delivery moved up by Rs 17, or 0.61%, to Rs 2,817 per quintal, with an open interest of 25,480 lots.
Similarly, sugar for July delivery also edged up by Rs 16, or 0.58%, to Rs 2,773 per quintal, with an open interest in 28,710 lots. It had ended 1.32% higher at Rs 2,766 per quintal in the previous session.
Analysts said the rise in sugar futures prices was mostly attributed to pick up in demand from bulk consumers amid announcement of lower quota for July and hopes that more exports of the sweetener may be allowed by the government.
Meanwhile, the government has allowed millers to sell a total of 17.72 lakh tonne of sugar via ration shops and in the open market for July month as against 18.57 lakh tonne allocated in the previous month.
