Sugar prices are may witness correction initially in the intraday as the government has extended zero duty on imports till March 2012.
However, Notification for the recently allowed 1 mln tn sugar exports is likely to be issued and thus this may push prices higher towards the end of the session.
From long term perspective, prices are expected to take cues from the Sugar output estimates in the domestic market, change in government policies with respect to exports and International Sugar prices, which would be influenced by the supplies from Brazil, Thailand and India and demand from China.
Sugar Dec NCDEX Futures R s . /qtl support: 2975-2985 resistance: 3030-3040
Sugar Dec MCX Futures R s ./qtl support:2990-3000 resistance:3035-3045
