Couldnt find any such news. Can you please point out to the right direction...

Any specific reason apart from general volatility...

I too heard this but i beleive this is a rumor. Can you please provide the source of information, if possible....

More good news here....


The boom in commodity prices last year bypassed the sugar sector. While all commodities scaled new highs in 2007, sugar touched fresh three-year lows of nine cents a pound in 2007, down from 19 cents a pound in 2005. It rallied with all commodities in early 2008, but gave up its gains easily, and settled around 11 cents per pound. It is far from showing the firepower exhibited by other commodities.

But the last month has seen renewed investor interest in sugar. Both equity and commodity investors have started to take a keen look at sugar and sugar stocks. Sugar prices have moved up in the international and domestic markets.

Domestic prices have moved up 10% over the last month. International prices jumped 15% in the past week after falling early in the month. The excitement in the sugar markets is due largely to supply constraints. On an immediate basis, the trigger for domestic sugar prices has been the release of a lower quota for the July-to-September quarter, which was below market expectations. More importantly, sugar futures are quoting at a premium of almost 12% to 14%, indicating that the market expects a rise over the next few months.

To add to the current bullishness in the commodity markets, production in the coming year is expected to fall from 27 million tonnes to 22 million tonnes. The area under cane cultivation is already down from 5.2 million hectares to 4.3 million hectares this year. Moreover, the key states of Andhra Pradesh, Karnataka and especially Maharashtra have received poor rainfall this year.

This has affected the sugarcane crop significantly, and this is unlikely to change much even if the monsoon picks up in these states later during the season. Low production this year-likely to fall even below consumption levelswill keep the demand-supply situation very tight. Prices are likely to keep moving higher as the festive season nears.

Even international markets are experiencing an easing of last year's situation, when supply exceeded demand by more than nine million tonnes. Both are expected to balance out at 164 million tonnes this year. This is largely due to lower production by India. Brazil, too, is expected to show zero-to negative growth this year, as high oil prices prompt the use of more cane for ethanol production.

While India exported four million tonnes last year, political expediency, based on electoral calculations, is likely to restrict exports . With the demand-supply situation turning in favour of sugar companies, prices are expected to reflect this and move higher.
...

Adding to that global prices will remain firm for atleast a year... here's why....

Philippine Sugar Exports May Slump 40% Next Year (Update1)

By Luzi Ann Javier

Aug. 13 (Bloomberg) -- Sugar exports from the Philippines, Southeast Asia's second-biggest exporter after Thailand, may drop 40 percent next year as production falls on lower fertilizer use, according to Sugar Regulatory Administrator Rafael Coscolluela.

Overseas sales, including to the U.S., may fall to about 207,000 metric tons, Coscolluela said in an interview. Exports from the Philippines, which consumes about 1.95 million tons a year, may reach 345,000 tons in 2008, the highest since 1985.

Lower Philippine exports may help bolster global prices amid forecasts for smaller crops from nations including India and Brazil, the two biggest growers. The global sugar surplus may drop to 2.2 million tons in the season to September 2009 from 10.8 million in the current season, according to LMC International Ltd.

``Planters are losing a lot of money,'' said Felipe Garcia, secretary-general of the United Sugar Producers Federation of the Philippines, which accounts for 19 percent of the nation's cane plantations. Costs were outpacing local sugar prices and national output may decline for three years, Garcia said in Cebu city.

Sugar has been the best-performer on the UBS Bloomberg Constant Maturity Commodity Index in the past three months on the forecasts for smaller harvests, gaining 8.6 percent. The October- delivery contract rose 1.8 percent to 13.61 cents a pound yesterday on ICE Futures U.S., the former New York Board of Trade. Refined sugar gained 1.3 percent to $388.50 a ton in London.

Sugar production in Maharashtra, India's top-producing state, may drop 19 percent in the year from October 2009, an industry group said yesterday. Output in Brazil's Center South region, that country's biggest growing area, fell 11 percent this year through July 16.

Lower Output

Philippine sugar output may drop to 2.2 million tons in 2009 from an estimated 2.45 million tons this year as farmers cut the use of fertilizer after costs more than doubled, Coscolluela said in an interview from Cebu city, where he's attending a conference.

Still, Philippine stockpiles of the sweetener have climbed to more than 500,000 tons this year as the use of higher-yielding canes raised productivity and boosted output to a 25-year high, Coscolluela said.

``We need to export our excess sugar to protect our planters and keep domestic prices from falling,'' Coscolluela said. The inventory may be cut to a ``healthy'' 300,000 tons by shipping 200,000 tons by December, Coscolluela said.

Garcia, the secretary-general of the United Sugar Producers Federation, said higher fertilizer costs and low local prices meant that planters may lose $200 for every $1,000 spent on cane plantings.

``It will be crazy for you to keep planting if you're losing money,'' he said, adding that the sugar estates employed about 700,000 planters and workers. ``If the sugar industry collapses, the economy will collapse.''

The average local price of soil nutrients, including urea, more than doubled to 1,835 pesos ($41.13) per 50-kilogram bag in June compared with a year earlier, according to government figures. The refined sugar price rose 12 percent to 1,724 pesos per 50 kilogram bag in July from a year earlier, according to the Philippine Sugar Millers' Association.

...

Prices of sugar M grade have move up 9.9% in north india in the last 2 weeks

During the same period it went up by 14.2% in south india. I thinks its better to look at south based sugar companies like Rajshree sugars and KCP sugars. They dont have the hassle of SAP (State advised price) prices also like balrampur and bajaj hindustan. ...

Whats moving this stock so sharply?...

It is RUMORS only, acually it was a boarder on this board who was spreading this news last Nov telling the Anil Ambani was quitely buying GVF for his freinds. I had replied that if it is true it is shame on Anil to be gifting such garbage. From various post of that boarder it was clear the person had bot GVF at 12 and invested about 80thosand Rs. There were many other positive post from the same boarder including last one which said retired judge being on demerger case the demerger will move faster and should be ex dated in June. So pls dont go by unverifiable news, becareful as GVF has consistently shown no improvement in business or net results or market price. Never forget that they are going to write of 90 pct of capital base and that happens only when accumulated loss are not recoverable. I would not be surprised if I see GVF trading at 60 to 80 paise. Good luck to all....

More good news here.... The boom in commodity prices last year bypassed the sugar sector. While all commodities scaled new highs in 2007, sugar touched fresh three-year lows of nine cents a pound in 2007, down from 19 cents a pound in 2005. It rallied with all commodities in early 2008, but gave up its gains easily, and settled around 11 cents per pound. It is far from showing the firepower exhibited by other commodities. But the last month has seen renewed investor interest in sugar. Both equity and commodity investors have started to take a keen look at sugar and sugar stocks. Sugar prices have moved up in the international and domestic markets. Domestic prices have moved up 10% over the last month. International prices jumped 15% in the past week after falling early in the month. The excitement in the sugar markets is due largely to supply constraints. On an immediate basis, the trigger for domestic sugar prices has been the release of a lower quota for the July-to-September quarter, which was below market expectations. More importantly, sugar futures are quoting at a premium of almost 12% to 14%, indicating that the market expects a rise over the next few months. To add to the current bullishness in the commodity markets, production in the coming year is expected to fall from 27 million tonnes to 22 million tonnes. The area under cane cultivation is already down from 5.2 million hectares to 4.3 million hectares this year. Moreover, the key states of Andhra Pradesh, Karnataka and especially Maharashtra have received poor rainfall this year. This has affected the sugarcane crop significantly, and this is unlikely to change much even if the monsoon picks up in these states later during the season. Low production this year-likely to fall even below consumption levelswill keep the demand-supply situation very tight. Prices are likely to keep moving higher as the festive season nears. Even international markets are experiencing an easing of last year's situation, when supply exceeded demand by more than nine million tonnes. Both are expected to balance out at 164 million tonnes this year. This is largely due to lower production by India. Brazil, too, is expected to show zero-to negative growth this year, as high oil prices prompt the use of more cane for ethanol production. While India exported four million tonnes last year, political expediency, based on electoral calculations, is likely to restrict exports . With the demand-supply situation turning in favour of sugar companies, prices are expected to reflect this and move higher. ...

Regretably closed to 90.80. What is behind today\\`s -4 close!!!! ...

BTW, the above suggestion was only for short term people. If you dont need the money for a year.... this is one of the best stocks. Lots of cash and still trading at 5 PE....

I think everybody knows that sugar prices will go up this winter. But will the goverment allow that when the inflation is high and election around the corner. I think the time has come to take the money from the table. In 2004 the condition was same but that time the inflation was low. I feel this time around there will not multibaggers in sugar stocks. ...

Thanks Rantan..for the response. which are the others stocks that i can look into..porbably i can hold it for a year or so.....

ratan please dont act dumbo :-),only reserves are not sufficient to make any company fundamentally strong, we have to consider all the parameters equally!!...