Sugar stocks dive; Praj Industries, Dalmia Bharat Sugar under pressure

The government on Thursday has reduced the export subsidy from Rs5.85 / kg to Rs4.0 / kg on any sugar contracted for export on or after May 20, 2021.

May 21, 2021 02:05 IST India Infoline News Service

Balrampur Chini Mills
Shares of sugar companies were trading lower on Friday in an otherwise strong market. The sugar companies are under pressure after the government slashed subsidy on sugar exports from Rs6,000 per tonne to Rs4,000 per tonne with immediate effect in view of firm global prices.

The government on Thursday has reduced the export subsidy from Rs5.85 / kg to Rs4.0 / kg on any sugar contracted for export on or after May 20, 2021.

Shares of Dalmia Bharat Sugar and Industries, Praj Industries, Bajaj Hindustan Sugar, Dhampur Sugar Mills, Dwarikesh Sugar Industries, Balarampur Chini Mills, Uttam Sugar Mills and Avadh Sugar Mills were down on the BSE in intra-day trade today.

Stock view:
Dalmia Bharat Sugar & Industries Ltd is currently trading at Rs332.90 down by Rs14.15 or 4.08% from its previous closing of Rs347.05 on the BSE.

Praj Industries Ltd is currently trading at Rs357.55 down by Rs22.55 or 5.93% from its previous closing of Rs380.10 on the BSE.

Bajaj Hindusthan Sugar Ltd is currently trading at Rs10.93 down by Rs0.52 or 4.54% from its previous closing of Rs11.45 on the BSE.

Balrampur Chini Mills Ltd is currently trading at Rs303.60 down by Rs9.2 or 2.94% from its previous closing of Rs312.80 on the BSE.

Dhampur Sugar Mills Ltd is currently trading at Rs324.90 down by Rs14.5 or 4.27% from its previous closing of Rs339.40 on the BSE.

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