Balrampur Chini, EID Parry, Dalmia Bharat, Shree Renuka Sugars: Sugar stocks rise up to 9% today; here's why

Shares of sugar sector firms such as Balrampur Chini Mills, EID Parry, Dalmia Bharat Sugar & Industries, Triveni Engineering and Shree Renuka Sugars rose up to 9% on Tuesday amid a sharp rise in global sugar prices. The rally in sugar prices comes ahead of the festive season in the country.

Global raw sugar prices surged to an 18-month high, strengthening the outlook for domestic sugar producers. Raw sugar prices jumped around 4% overnight, taking their gains to about 11% over the past month and 33% so far in 2026.

Balrampur Chini Mills shares rose 6.31% to Rs 713.60 in the current session. Market cap of the sugar firm climbed to Rs 14,557 crore.

Dalmia Bharat Sugar & Industries stock gained 9% to Rs 466.16. Market cap of the sugar firm climbed to Rs 3650 crore.

EID Parry stock too gained 2.7% to Rs 711. Market cap of the firm stood at Rs 12,399 crore. On similar lines, Triveni Engineering shares rose 3% to Rs 248.55. Market cap of the firm stood at Rs 5354 crore.

Shree Renuka Sugars too added 5% to reach Rs 4842 during the day. Market cap of the sugar firms stood at Rs 4842 crore.

The rally in sugar prices has been supported by a tightening global supply outlook. StoneX estimates the global sugar market could face a deficit of around 900,000 tonnes in the 2026-27 season, as production concerns build across several major sugar-producing regions.

Thailand is among the key areas facing a potential production setback, with sugar output expected to fall 17% to below 10 million tonnes. The European Union is also likely to see weaker production, with sugar-beet crops estimated to decline by around 19%.

Brazil, the world’s largest sugar producer and exporter, is facing its own near-term supply challenges. Excessive rainfall has disrupted harvesting and crushing operations, raising concerns about the availability of sugar in the global market.

The combination of production risks in major producing countries and a widening supply-demand imbalance has pushed international sugar prices higher, improving the near-term sentiment towards sugar stocks.