Govt Clears 30,000 Tonne Sugar Export.

The government has approved around 30,000 tonne of unrestricted sugar exports, kicking off overseas sales of a total 5,00,000 tonne given an official green light on April 19, government sources said on Thursday.

A total of 16 mills have been allowed, for about 30,000 tonne, one of the sources, who requested anonymity, said. The government had asked mills to register starting April 19 for exports. It asked mills to ship out the sweetener within four and half months.

One trader said he was looking for at least $675 per tonne free-on-board (FOB) basis west coast India for the white sugar, while a source with one of the exporting mills said he expected $730-740 per tonne as the sugar was of high quality.

A Singapore-based trader said Indian exporters could sell at lower prices. The Thai are probably asking for premiums of $70 at the moment.I think the majority of sellers in India will be looking to sell at $660 to $670, the trader, who did not wish to be identified, said.

Indian exporters are looking to sell to the Middle East, rather than Sri Lanka and Indonesia, these sources added. London August white sugar futures were quoted around $621 per tonne on Thursday after prices eased on Wednesday, partly on hopes of exports from India.

Source : financialexpress.com