Sugar stocks extend fall, slip up to 9% as government restricts exports

Brokerage ICICI Securities believes this would not have any impact on sugar companies' fundamentals.

Shares of sugar companies were under pressure for the second straight day, falling up to 9 per cent on the BSE in Wednesday’s trade after the government on Tuesday imposed restrictions on sugar exports from June 1.

The government plans to regulate sugar exports and would allow 10 MT of exports in current sugar season. Sugar mills have already contracted for 9 MT of exports and exported 7.8 MT.

Dwarikesh Sugar Industries, Dalmia Bharat Sugar and Industries, Triveni Engineering & Industries, Balrampur Chini Mills, Avadh Sugar & Energy and Uttam Sugar were down between 5-9 per cent on