Stock market update: Sugar stocks fall up to 5%; Magadh Sugar, Simbhaoli Sugars among top losers

NEW DELHI: Most sugar stocks were trading in negative territory in Thursday's session, a day after the Cabinet approved a Rs 5,500-crore package for the industry.

In third incentive package for sugar mills in four months, the Union government Wednesday announced a Rs 5,500 crore package for the sugar industry, including over two-fold jump in production aid to cane growers and transport subsidy to mills for exports, PTI reported.

Shares of Thiru Arooran Sugars (down 5.10 per cent), Magadh Sugar & Energy (down 5 per cent), Indian Sucrose (down 4.97 per cent), Rajshree Sugars & Chemicals (down 4.88 per cent), Simbhaoli Sugars (down 4.88 per cent), Empee Sugars & Chemicals (down 4.80 per cent) and Sakthi Sugars (down 4.75 per cent) plunged up to 5 per cent.

Parvati Sweetners and Power (down 4.59 per cent), Mawana Sugars (down 4.25 per cent), Avadh Sugar & Energy (down 4.11 per cent), Shree Renuka Sugars (down 2.59 per cent), Dhampur Sugar Mills (down 2.02 per cent), Piccadily Agro Industries (down 1.88 per cent), Triveni Engineering & Industries (down 1.81 per cent) and EID Parry (down 1.65 per cent) too found themselves among the losers.

However, shares of Gayatri Sugars (up 4.97 per cent), Riga Sugar Company (up 4.94 per cent), KCP Sugar & Industries (up 2.59 per cent), Piccadily Sugar & Allied Inds (up 2.02 per cent), Ponni Sugars (Erode) (up 1.89 per cent), Bannari Amman Sugars (up 1.78 per cent) and Ugar Sugar Works (up 1.03 per cent) were trading with gains at that time.

Market was on a volatile pitch amid weak global cues after the US Fed hiked rate by 25 basis points while hinting at the possibility of further hikes.

The US central bank still foresees another rate hike in December, three more next year, and one increase in 2020, Reuters reported.

The rollover of positions on the last day of September futures and options contracts, too, made market wobbly.

The NSE Nifty50 index was trading flat at 11,055 at 10:20 am. The 30-share BSE Sensex was up 35 points at 36,577 at that time.

In the Sensex index, 19 stocks were advancing and 12 were declining.

YES Bank, HDFC, Sun Pharma and Axis Bank were among the top losers in the Sensex index.