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Supply tailwinds lift sugar mill shares

Sugar mill shares are on a roll as rising prices and tight supply conditions are conducive to their profit margins

May 06, 2021 / 02:57 PM IST
Supply tailwinds lift sugar mill shares

Shares of sugar mills have been moving up in recent weeks on a brightening outlook for the commodity. Sugar prices have been rising internationally with the raw sugar contract traded on the InterContinental Exchange up by 19 percent since early April. It mirrors a general uptrend seen in soft commodities that is partly due to tightness expected on the supply side, even as demand remains relatively healthy and fears of rising inflation send investors looking for safer options. On the...

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