Stock market update: Sugar stocks down as market fall on Monday at 10:39 a.m.
EID Parry (up 1.78%), BAJAJHIND (up 1.77%), Dharani Sugars & Chemicals (up 1.63%), Bannari Amman Sugars (up 1.37%), Vishwaraj Sugar Industries (up 0.79 %), Ponni Sugars (Erode) (down 0.72%), Shree Renuka Sugars (down 0.59%), Uttam Sugar Mills (down 0.29%), Rana Sugars (down 0.17%) and Balrampur Chini Mills (0.12%) were among the biggest gainers.
Dalmia Bharat Sugar & Industries (down 1.63%), Simbhaoli Sugars (down 1.48%), Mawana Sugar (down 1.32%), & Industries (down 1.08%), Dhampur Sugar Mills (down 1.00%), Ugar Sugar Works(down 0.86%), K.M.Sugar Mills(down 0.79%), Rajshree Sugars & Chemicals (down 0.70%), Dwarikesh Sugar Industries (down 0.51%) and DCM Shriram Industries(down 0.45%) were among the top losers.
On the other hand, Tech Mahindra (down by 4.29%), HCL Technologies(down 4.29%), Infosys (down 4.28%), Wipro (down 4.17%), HDFC LIFE INSURANCE (down 4.08%), IndusInd Bank (down 3.89%), Hindalco Industries (down 3.51%), JSW Steel (down 3.43%), Tata Consultancy (down 3.4%) and Tata Steel (down 3.35%) were trading in the red.
Shares of sugar companies came under pressure for the second day in a row, falling as much as 9 percent due to the BSE in trading on Wednesday after the government on Tuesday imposed restrictions on sugar exports from June 1.
The government plans to regulate sugar exports and would allow 10 MT to be exported in the current sugar season. The sugar mills have already contracted 9 MT of exports and exported 7.8 MT.
Dwarikesh Sugar Industries, Dalmia Bharat Sugar and Industries, Triveni Engineering & Industries, Balrampur Chini Mills, Avadh Sugar & Energy and Uttam Sugar were all down 5-9 per cent on BSE in intraday trading. By comparison, as of 10:04 a.m., the S&P BSE Sensex was up 0.07 percent at 54,092 points.
In the past week, share prices of sugar companies have declined between 15 and 20 percent, against a 0.21 percent drop in the benchmark.
India for the first time in six years planned to restrict exports to around 10 million tonnes to avoid a drawdown in stocks and a rise in domestic prices, Business Standard reported citing sources.