India may consider a proposal in 15 days to allow duty-free imports of raw sugar beyond Aug. 1, a government official said on July 10. Before today, sugar futures surged 49 percent this year as a drop in India’s output spurred the country to boost purchases, contributing to a global production deficit.
“India looks to be a strong buyer for weeks to come,” said Jack Scoville, a vice president at Price Futures Group in Chicago. “For now, the markets are enjoying bullish fundamentals.”
Raw-sugar futures for October delivery rose 0.12 cent, or 0.7 percent, to 17.66 cents a pound at 11:24 a.m. on ICE Futures U.S. in New York. Earlier, the price reached 17.85 cents, the highest for a most-active contract since July 1.
“I look toward sugar staging attempted advances” because of India’s demand, Jurgens H. Bauer, the head of brokerage Jurgens Bauer & Associates in New York, said yesterday in a report.
Prices may rise to 18 cents next week and reach 20 cents by the end of the year amid the shortfall in India, Michael Smith, the president of T&K Futures & Options in Port Saint Lucie, Florida, said yesterday.
On ICE, cotton futures for December delivery rose 0.19 cent, or 0.3 percent, to 62.85 cents a pound. The fiber climbed 6 percent in the previous three sessions.
Before today, cotton gained 28 percent this year as declines in global production outpaced slowing demand.
Sugar
Cotton