Jul 30 2009 3:58PM
MUMBAI, July 30 (Reuters) - India has released 1.67 million tonnes of non-levy sugar for August, up 12 percent compared to the previous month as the country is heading towards the festive season, a senior government official said on Thursday.
Non-levy, or free sale sugar, is sold by millers in the open market, but the quantity each mill can sell is fixed by the federal government on a monthly basis.
The government has released 1.377 million tonnes as normal non-levy sugar quota and estimates supplies of 133,000 tonnes from dismantled buffer stock and 160,000 tonnes from imports, taking supplies to 1.67 million tonnes.
"The quota is enough to cater the August demand. July quota is not completely sold. So unsold quantity from July quota will also enter into the market in next two weeks," Ashok Jain, president of the Bombay Sugar Merchants Association, said.
Besides, government has released 185,000 tonnes of levy sugar.
Traders forecast a 45 percent drop in India's sugar output to 14.7 million tonnes in the crop year to September.
India's sugar output in 2009/10 is expected to reach 17.5-18.5 million tonnes, lower than the previously estimated 20 million tonnes, on delay in progress of monsoon, a senior industry official said on Wednesday.
No comments:
Post a Comment