Here are some sugar stock related info I was reading. Sugar stocks are hot stock these days and they are going up every day. Sugar and agri related stocks are in demand. Due to good monsoon, Agri related stocks are in demand. Sugar stocks are in demand due to international reason and domestic reason. Sugar price has gone up. Ethanol price is also going up. Govt has mandated 5% ethanol blending from Sept, 2016 for all public sector oil companies. Ethanol is produced by Sugar companies from the by-products of cane.
The cost of production of sugar is Rs 2700.
Ethanol price realization will be better going forward. Currently 40 Per liter and it can be Rs 45.
Govt want 10% ethanol blending from 2017. Currently ethanol is not produced in required quantity.
Uttarakhand 2G Ethanol plant could be a game changer which is developed using indigenous technology.
“For agricultural water pumps, the blending can even be 100 per cent of bio-diesel,” he added.
Renuka sugar - VC and MD.