Sugar futures extended fall at local bourse on Thursday despite firm cues from global market as government has warned sugar industry that all necessary steps would be taken to curb hikes in sugar prices. Raw and white sugar futures settled higher at Intercontinental Exchange (ICE) previous day.
However, fundamentals are supportive to the sugar prices as sugar production has slipped as compared to last year.Sugar output in the country was 104.80 lakh tonnes till January 15, in the current sugar season 2016-17, down by 5.92 lakh tons from last year. By 1009 IST, sugar future for delivery in March was Rs. 51 or 1.32 percent down at Rs. 3,820/100kg while it dipped to Rs. 3,791 after opening at Rs. 3,850 at National Commodity and Derivatives Exchange Ltd.
On Wednesday, ICE March raw sugar ended up 0.25 cents, or 1.21 percent, at 20.98 cents per pound, while March white sugar closed up $4.10, or 0.76 percent, at $542.50 per tonne.
