Sugar Industry Insights (Feb 25, 2020)
Last few years sugar industry has been a beneficiary of government largesse. Sugar cycle turned in 2015. Post that there has been surplus production.
We have to understand that sugar story depends on government help a lot. It does remain a political commodity.
1)High production next year
2)Current year production above the industry expectation of 26 mt (for UP one can get data as most are listed, but for Mah it is difficult as there are many private players and co-operatives)
4)Crude falls, to let’s say, 40-50$. The whole ethanol story becomes very difficult. Brazil also starts diverting cane to sugar instead of ethanol
More from Jiten Parmar
More from Sugar
The other just entered into quality territory today 😜
Quality hone ke liye HIGH PE hona jaroori hai
Quality hone ke liye HIGH PE hona jaroori hai
Ethanol plants need incineration boilers
— Siddhartha Bhaiya (@sidd1307) June 29, 2021
There are only 2 major manufacturers in India
One is thermax. The other is homework \U0001f61c#valueinvesting #Investment #investing #aequitas
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