Sugar stocks jumped on Wednesday, with producers such as Bajaj Hindusthan Sugar, Dwarikesh Sugar and Shree Renuka Sugars gaining 5-10 percent each as tightening supplies lifted domestic sugar prices.
Sugar stocks rallied on August 19, bucking a weak broader market as a sharp rise in domestic sugar prices amid tightening supplies fuelled expectations of stronger realisations for producers. However, reports that the government is considering allowing limited duty-free imports and other measures to cool prices added a potential policy overhang for the sector.
