InvestorQ : Why have sugar stocks like Dalmia Bharat, Dhampur, Balrampur and EID Parry been rallying of late?
Anu Biswas made post

Why have sugar stocks like Dalmia Bharat, Dhampur, Balrampur and EID Parry been rallying of late?

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Ria Jain answered.
8 months ago
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Sugar stocks rallied 9-10% on 15 April but this trend is going for some time. There are expectations of better earnings growth in Q4. A big reason for this enthusiasm is the subsidy announced in December 2020 which resulted in a strong momentum in sugar exports. That has largely driven sugar stocks higher.

Leading sugar companies like Balrampur Chini, Uttam Sugar, Dalmia Bharat, Dhampur, EID Parry and Dwarikesh Sugar have rallied sharply. Government has also been fairly aggressive about taking ethanol blending in petrol up to 20% by 2025 and that should favour sugar stocks as ethanol offers a lucrative diversification for the sugar stocks.

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