Sugar Refiners Surge on Import Duty Hike

Shares of sugar refiners gained after Food Minister Ram Vilas Paswan said the government will hike the import duty on the commodity to 40 per cent from 15 per cent to bail out the ailing sugar industry.

In another boost for the sector, the food minister said ethanol blending in petrol will be hiked to 10 per cent from 5 per cent.

"We have reached a consensus to raise the import duty to 40 per cent and to consider other incentives provided mills clear Rs 11,000 crore in dues to farmers," Ram Vilas Paswan said after meeting the sugar industry officials.

Paswan also told reporters the subsidy on raw sugar exports would be extended until September. India increased the subsidy for raw sugar earlier this month to boost output and exports.

Among sugar refiners, Shree Renuka Sugars surged 11.26 per cent while Bajaj Hindusthan, EID Parry and Balrampur Chini rose between 8-10 per cent. (With Agency Inputs)