Continuing its rising tendency, sugar futures prices rose sharply by 3.95 per cent to Rs 3,609 per quintal as speculators engaged in building-up positions, expecting a delay in crane-crushing in sugar producing states.
However, higher selling by mills following a government directive to mills to sell 4 million tonnes of sugar in the open market during October and November, capped the gains.
At the National Commodity and Derivatives Exchange, sugar for delivery in November shot up by Rs 137, or 3.95 per cent to Rs 3,609 per quintal, with an open interest of 18,840 lots.
The sweetener for delivery in the December contract rose by s 14, or, or 0.45 per cent, at Rs 3,345 per quintal, in anopen interest of 31,630 lots.
Market analysts attributed the rise in sugar prices at futures trade fresh positions by speculators supported by reports of a delay in cane crushing in key producing states