Last Updated: October 25, 2023, 14:20 IST
Sugar shares like Balrampur Chini Mills, Shree Renuka Sugar, Dhampur Sugar jumped between 3 per cent and seven per cent, aided by rise in international sugar costs to a 12-12 months excessive, on tightening provide and expectations of higher earnings.
In comparability, the S&P BSE Sensex was down 0.89 per cent at 63,986 at 1:50 PM.
According to CRISIL, regardless of diminished exports and decline in ethanol manufacturing, Ebitda margins of micro, small and medium enterprises (MSMEs) within the sugar trade are projected to extend within the upcoming quarters.
This is because of their vital involvement within the sugar phase and restricted publicity to exports and the distillery phase. Robust sugar costs will positively affect their monetary efficiency this monetary 12 months.
The authorities has banned sugar exports this season due to low provide. The Directorate General of Foreign Trade issued a notification extending the restriction on sugar exports from October 31 onwards until additional discover.
Lower cane availability is predicted to cut back sugar manufacturing by 3-4 per cent, which is able to set off a worth rise. Sugar costs are prone to rise 2-3 per cent within the backdrop of weak provide and powerful demand, CRISIL stated.
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