Sugar prices rose by 0.07% to Rs 3,070 per quintal in futures trade today on good demand in the physical markets amid poor rains in key growing areas.
At the National Commodity and Derivatives Exchange, sugar for August delivery traded Rs 2, or 0.07%, higher at Rs 3,070 per quintal, with an open interest for 26,370 lots.
Sugar for delivery in September also traded Rs 2, or 0.06%, higher at Rs 3,124 per quintal, with an open interest of 11,600 lots.
Medium sugar (M-30) rose by Rs 30/34 per quintal to Rs 3,100/3,241 per quintal at the Mumbai's Vashi wholesale market in yesterday's trade.
Analysts attributed the rise in sugar futures to huge positions created by speculators, driven by a firming trend in spot markets on the back of rising demand from bulk consumers and deficient monsoon in key growing areas.
Maharashtra, country's largest sugar producing state, has had very low rainfall in June which could hit yields.
