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Balrampur Chini Mills shares rally despite tighter sugar stock limits
The government’s latest rule bars sugar dealers and traders consuming over 10 metric tonnes a month from holding inventory beyond 15 days, running September 1 to November 30, 2026.
Balrampur Chini Mills shares have risen more than 10% over the past five sessions on the NSE, even as the government tightens limits on sugar stockholding, according to LiveMint Markets.
On Monday, the stock opened at ₹732.95 on the NSE versus a Friday close of ₹729.35. It gained as much as 2.86% on August 24, reaching an intraday high of ₹751.70.
The renewed restrictions bar dealers and traders consuming more than 10 metric tonnes of sugar per month from holding inventory exceeding 15 days of their requirements. The rule is set to stay in force from September 1 to November 30, 2026, aiming to prevent hoarding, improve market availability, and help curb record-high sugar prices.
LiveMint Markets said investors appear to be focusing more on supply tightness, robust festive-season demand, and elevated sugar prices. The outlet noted sugar prices have risen nearly 10% over the past month, with the all-India average ex-mill sugar price climbing to around ₹5,400 to ₹5,500 per quintal on August 18 versus nearly ₹3,900 per quintal a year earlier. With cane costs largely fixed under government-administered pricing, higher realizations are expected to support sugar-mill profitability.
Latest closeSugar $16.60 ▼1.3%