ISMA says, sugar prices likely to cool off as sufficient stock available 

 
Indian Sugar and Bio-energy Manufacturers Association (ISMA) Director General Deepak Ballani today said, sugar prices are likely to cool off as panic and speculative buying ease, with sufficient stocks available in the country. He said, the rise in sugar prices over the past 20 days was driven by speculative and panic buying. Mr Ballani was talking to a news agency on the sidelines of the ISMA Press Conference in National Capital.  He asserted that there are absolutely no problems with sugar availability in the country. On ethanol, Mr Ballani rejected suggestions that diversion of sugar towards ethanol was responsible for the recent price increase adding that domestic consumption remains the first priority.
 
ISMA President Niraj Shirgaokar said the association has sought a reduction in the sugar holding limit for traders from 400 tonnes to 200 tonnes so that more stocks are released into the retail market. He said the government has taken several measures over the past four to six months, including physical verification of stocks at sugar mills and limits on traders, institutional buyers and bulk consumers. Mr Shirgaokar said the government has announced imports of 10 lakh tonnes of sugar as a precautionary measure to ensure comfortable availability.