Continuing its rising streak, sugar prices rose further by 0.99% to Rs 3,580 per quintal in futures trade today, supported by the strong demand in the spot market from bulk consumers amid deficient rainfall in all the key sugarcane growing regions.
At the National Commodity and Derivatives Exchange, sugar for August delivery traded Rs 35, or 0.99% higher, at Rs 3,580 per quintal, with an open interest of 12,250 lots.
September sugar shot up by Rs 27, or 0.75%, to Rs 3,607 per quintal, in an open interest of 40,780 lots.
Meanwhile, in the Kolhapur spot market, sugar rose by Rs 120 to Rs 3,586 per quintal in yesterday's trade.
Analysts said persistent rise in sugar futures was due to speculative positions created by speculators, following strong demand in the spot market for the festive season and weak rainfall in all key growing areas in the country, which could hurt output next year.
