ED&F Man contracted to buy 50,000 T India raw sugar

LONDON, Nov 15 (Reuters) London-based merchant ED&F Man contracted 1-1/2 months ago to buy 50,000 tonnes of Indian raw sugar from India's sugar export corporation ISEC, a company official said on Thursday.

The official, who asked not to be identified, declined to give terms of the deal.

However, the official said the sugar ultimately was destined for a regional player, given that freight rates are soaring.

Indian sugar has been pricing out Brazilian sugar in nearby markets because of freight costs, which have been driven higher by China's appetite for commodities to power its rampant economic growth.

India, the world's largest sugar consumer, has emerged as a major net sugar exporter in 2007/08.

REUTERS SI DB2121