Sugar stocks fall after Govt imposes export duty
Sugar stocks fall after Govt imposes export duty
Stocks of sugar companies fell over 3% in the Bombay Stock Exchange (BSE) in the morning trade on Friday.
The government imposed 20% customs duty on sugar exports to boost domestic supply and check prices which are ruling high at Rs 40/kg.
"To keep the domestic prices of sugar under check, the government has decided to impose export duty of 20% on the export of raw sugar, white or refined sugar," the Finance Ministry said in a release, PTI reported.
The duty has been imposed to restrict exports following sharp rise in global prices. The duty is, however, lower than 25% proposed by the Food Ministry.
Sugar stocks were trading in green since the opening trade of this week.
However, collectively the stocks of sugar companies declined 3.03% with only three advances and 25 declines in the morning trade on the BSE.
See LIVE sugar stock prices here-
Among leading sugar stocks losers were- Simbhaoli Sugars which fell 8.91%, followed by Ugar Sugar Works with 8.72% decline and Oudh Sugar Mills with 7.52% fall.
The stock of Uttar Sugar Mills fell down 7.23% while KCP Sugar and Industries Corporation declined 7.18% in the morning trade on the exchange.
The stock of Upper Ganges and Industries was down 7.09% in the morning trade on the BSE.
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