BSMA urges Agri minister to look into spiraling sugar prices

Mumbai, Jul 31 (UNI) The Bombay Sugar Merchants Association (BSMA) has requested Union Agriculture Minister Sharad Pawar to look into the issue of an unprecedented increase in sugar prices.

In a letter addressed to the Agriculture Minister, BSMA president Ashok Jain wrote that sugar prices had increased by nearly Rs 250 per quintal in the last two weeks.

''This substantial price rise would certainly contribute towards increase in the rate of inflation during the coming weeks,'' the letter said.

Mr Jain also requested for immediate announcement of a quota amounting to 16 lakh tonnes each for the next three months (August/September/October).

The government should permit the mills to sell whatever quantity they deem fit to be included in their released quantity out of the buffer stock, the letter states.

He further stated that the rising sugar prices would create 'artificial' scarcity in the market to keep the volatility high.

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