Indian sugar futures eased on Monday as surplus supplies from local production and imports offset an improvement in demand due to the summer season.
* The key June contract on India’s National Commodity and Derivatives Exchange was down 0.34 percent at 2,962 rupees per 100 kg at 0936 GMT.
* “Bulk consumers are buying more than last week, but supplies are ample. Mills are aggressively floating tenders to sell sugar,” said a New Delhi-based dealer.
* Mills usually pay farmers a large chunk of the cane price immediately after harvest or within two weeks.
* Demand for sugar from ice-cream and beverage makers typically rises during summer.
* Spot sugar edged up 2 rupees to 3,041 rupees per 100 kg in Kolhapur market in top-producing Maharashtra state.
* India is likely to produce 24.6 million tonnes of sugar in 2012-13, an industry body has said, against an annual demand of about 23 million tonnes.
* Indian sugar mills produced 24.52 million tonnes of the sweetener between Oct. 1, 2012 and April 30, about 3 percent less than a year earlier, a leading industry body said.