Today I saw an interview from CEO of Balrampur on CNBC. He sounds too bad, According to him, the current suger prices are less than their total cost. Also he told that the current suger production is 10% higher than demand and it would stay for atleast next 12 months. He wanted the UP govt and Indian govt to interfere and support suger prices, Which is unlikely, as we are facing an election in UP, so rising Suger prices would never be in the interest of Govt.
So all in all, we can see much lower levels for suger sector in near time, May be it is not right time to do bottom fishing yet in suger stocks. Sell Specifically those suger stocks which announced capacity expansion, as they are likely to hit most from this situation
So all in all, we can see much lower levels for suger sector in near time, May be it is not right time to do bottom fishing yet in suger stocks. Sell Specifically those suger stocks which announced capacity expansion, as they are likely to hit most from this situation
