Bajaj Hindusthan Sugar Gains 8% as Govt Tightens Dealer Stock Limits
· Business · Economic Times, Reuters
Bajaj Hindusthan Sugar shares rose about 8% to ₹22 after the government announced new inventory limits that forbid dealers handling more than 10 metric tonnes of sugar per month from holding stocks for more than 15 days. Shree Renuka Sugars and Dhampur Sugar Mills also climbed 6‑7%, while Balrampur Chini Mills added over 3%. The move follows a 10% rise in sugar prices over the last month to record highs, with analysts forecasting continued elevation for at least three months. Demand is expected to increase between August and November as festivals such as Ganesh Chaturthi, Dussehra and Diwali drive sweets, biscuits and confectionery consumption. Supply concerns stem from uneven rainfall and dry conditions affecting sugarcane output in India, and from a delayed harvest in Brazil due to adverse weather.
Why it matters
Higher sugar prices increase costs for manufacturers of sweets, biscuits and other processed foods, which can translate to higher retail prices for consumers across India.
Read the original report — Economic Times
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