Punjab Newsline | New Delhi
Consumers facing rising sugar prices may get some relief soon, with the Indian Sugar and Bio-Energy Manufacturers Association (ISMA) saying there is no shortage of sugar in the country. The industry body expects retail sugar prices to decline in the coming days.
ISMA President Neeraj Shirgaokar said the recent rise in sugar prices was mainly driven by speculative activity and excessive stockpiling by traders. Hoarding created an artificial sense of shortage in the market and pushed prices higher.
He also said weather-related challenges affected sugarcane production, with factors such as inadequate rainfall and excessive heat damaging crops. Lower availability of sugarcane subsequently affected sugar production at mills.
According to ISMA, a combination of hoarding, speculative activity and lower-than-expected production created temporary pressure on the market, resulting in higher sugar prices. However, with adequate sugar availability in the country, the association expects prices to ease in the near future.
