The share price of sugar stocks in the Thai stock market edged higher on Wednesday after the report of India limiting sugar exports to maintain domestic availability of sugar and safeguard interests of consumers by keeping prices under control.
As of 11:20 local time in Thailand on May 25, 2022, the share price of Buriram Sugar Public Company Limited (SET: BRR) rose 3.54% to trade at THB5.85 per share. Khon Kaen Sugar Industry Public Company Limited (SET: KSL) increased 1.04% to THB3.90 per share. Kaset Thai International Sugar Corporation Public Company Limited (SET: KTIS) gained 1.64% to THB4.96 per share, and Khonburi Sugar Public Company Limited (SET: KBS) advanced 2.34% to THB4.38 per share.
The Indian government will cap sugar exports at 10 million tons for the marketing year that runs through September, according to a statement from the food ministry late on Tuesday.
According to the Indian Sugar Mills Association, India is expected to produce 35 million tons this season and consume 27 million tons. The country will have a surplus of 16 million tons after including last season’s stockpiles of about 8.2 million tons.
India shipped only 6 million tons of sugar for the 2020-21 season, but due to an increase in global prices by almost 20% last year, there are expectations prior to the restriction announcement that India could export around 9-11 million tons this season.
According to statista, India is the third-largest sugar exporters in the world after Thailand in the second place and Brazil at the first.
