Persistent supply from mills and lack of buying support further depressed spot market prices of sugar in the majority of market like Muzaffarnagar, Delhi and Kolkata. Meanwhile, sugar industry in Maharashtra has requested the Union Govt. to provide incentives for enabling them to export 7.5 lakh tonnes at a time when the global prices are ruling at rock bottom. It has called for reimbursement of expenses on internal transport (13 paise/qtl per km), ocean freight at Rs 350 per tonne and marketing & handling expenditure at Rs 500 per tonne. The prices are likely to remain weak in coming days as the supply is likely to increase further with the approaching month end because of the pressure on the sugar mills to offload their free sale quota.

Wheat prices remained weak in majority of wheat wholesale markets. At Delhi, Wheat dara for mills declined by Rs.10/qtl to Rs.1050/qtl. The arrivals remained around 4,000-5,000 bags. The wheat prices in Rajkot mandis declined to Rs.905-910/qtl on the back of fresh arrivals of 6,000-7,000 bags. The government has planned to release 365,000 tonnes of wheat at 986.06 rupees per 100 kg to states for sale in open markets in February and March to curb the prices. This no doubt will add bearish tone in near future. The prices of wheat products remained firm and the demand is likely to increase because of coming holi festivals. With new crop prospects brightening, arrivals in the coming days are expected to increase.

Guar spot market witnessed firm sentiment during Friday’s trade. The prices of both guar seed and guar gum were quoted on the higher side in majority of market, amidst improved demand from exporters and millers against steady arrivals. According to market sources, overseas demand for guar gum from UK and China has improved slightly and exporters were active in meeting the demand. Consequently millers too remained active in the market. Arrivals stood steady at 500 hundred bags in Bikaner and 150 bags in Nokha. Overall arrivals reportedly stood steady at 10000-11000 bags during the day. The spot market prices are expected to remain steady to slightly firm in coming days on gradually increasing export demand.