Shares of Balrampur Chini Mills Ltd (4.12%), Shree Renuka Sugars (6%), EID Parry (3%), Dalmia Bharat Sugar (6%) and Triveni Engineering (3.2%) were among the top sugar sectoral losers today.
Balrampur Chini Mills shares fell 4.12% to Rs 693 in the current session. Market cap of the sugar firm slipped to Rs 14,916 crore.
Dalmia Bharat Sugar & Industries stock cracked 6% to Rs 452.40. Market cap of the sugar firm fell to Rs 3819 crore.
EID Parry stock too slipped 3% to Rs 678. Market cap of the firm stood at Rs 12,152 crore.
On similar lines, Triveni Engineering shares lost 3.2% to Rs 242.35. Market cap of the firm stood at Rs 5518 crore.
Shree Renuka Sugars shares too fell 6% to reach Rs 20.70 in early deals. Market cap of the sugar firm fell to Rs 4478 crore.
Bajaj Hindusthan Sugar shares fell 7.42% to Rs 19.69. Market cap of the firm slipped to Rs 4817 crore.
The decision restricts sugar mills’ flexibility to divert sugarcane and molasses between sugar production and ethanol manufacturing in response to market conditions. This could put pressure on profit margins and lower returns on investments made to expand ethanol production capacity.
The move is intended to boost domestic sugar supplies and bring down prices, which have surged to record highs in India, the world’s largest sugar-consuming market.
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