Sugar prices may fall further

A relieved Agriculture Minister Sharad Pawar said sugar prices would further come down in the next 10-15 days.

“After measures, there were some changes in sugar prices. There is a drop in the wholesale prices of sugar...  it takes about 10-15 days to reach the retail market,”  Pawar said.

Last week, the Cabinet Committee on Prices (CCP) took a twin step to increase availability of sugar in the domestic market and contain prices. It allowed processing of imported raw sugar anywhere in the country and extended deadline of duty-free import of white sugar till December end.

Prime Minister Manmohan Singh has also called a meeting of chief ministers later this month to discuss food inflation.

Meanwhile, with sugar prices on the decline, “traders and buyers are following a wait and watch policy,” a leading trader said. In the Delhi, wholesale market traders reduced their stocks, while the offtake by bulk users like sweet makers and biscuit manufacturers also reduced considerably. Mills too have started selling more in the open market.