Tidings Turning Favourable for Sugar Industry

1) rupee has weakened.
2) open market prices tending to go up now and have already in small way.
3) interest rates lower.
4) buffer now 4 million tonnes against 3 million tonnes earlier.
5) production estimate for sugar season 19-20 is lower due to crop loss in Maharashtra.
6) can prices have been kept at same level for the new sugar season.
7) companies are selling for just 1/4 the of their real assets values.
8) none of the players have posted cash losses and most companies have posted positive results.
9) market sentiment is generally down so are the sugar scrips.
10) one may pick sugar scrips of their choice now and wait and not sell any part of holding till at least 35% gain.
11) U.P. bases factories have greater advantage namely Avadh, Bajajhind, Balramchin, Dhampursugar, Dwarkeshsug, Mawanasug, KMSugar and Triveni. Among others look at Dalmiasug, Uttamsug, Bannariaman.

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