SP Tulsian of Sptulsian.Com feels that sugar pricing seems to have bottomed out.
Tulsian told CNBC-TV18, "A lot of shorts have been created on the sugar stocks and yesterday there has been a rise of about Re 1 in the realization of sugar in Maharasthra and southern mills. In sympathy with that there has been a quarter rupee increase in Uttar Pradesh (UP) also, it has rise by about 25 paise."
He added, "When you talk to traders it seems that the inventory has got exhausted. Even in the release mechanism front the government has again resorted back to 15 days so there is no pressure on part of the sugar mills to liquidate their inventory on a weekly basis. UP is approaching for nearing the closure of the mills which is likely to happen by first week of April. So these factors indicate that sugar pricing seems to have bottomed out. I do not think that things will be falling from here on in the commodity prices and if that happens even the fall in the sugar prices should take a halt."
