The cabinet may discuss extending Rs15,000cr soft loans and may also consider offering Rs3,355cr interest subsidy on loan to sugar mills, the report added.
Reacting to this news, shares of Bannari Amman jumped 4% on the BSE. Followed by Bajaj Hindusthan Sugar, Shree Renuka Sugars, Balrampur Chini Mills, and Dhampur Sugar Mills Ltd, which were up 2% each.
Meanwhile, equity benchmark indices were trading in the green on Wednesday with the Sensex rose 149 points at 36,591. Nifty also gained 47 points at 11,035.