Initial assessments by European traders indicated that the lowest price in the international bid to purchase 100,000 metric tons (c&f) of white refined sugar was $539.00 per metric ton.

They said that offers from the Trading Corporation of Pakistan state agency (TCP) are still being considered, and that no purchases have yet been reported.

Trading house ED&F Man was reported to have made the lowest offer for 50,000 tonnes of fine grain sugar sourced anywhere.

Two other participants have been reported. Dreyfus offered $567.40 per ton of fine grain sugar, regardless of origin. Al Khaleej Sugar offered $599.00 per ton of medium grain sugar, sourced from United Arab Emirates.

The reports reflect the opinions of traders, and it is possible to estimate prices and volume later.

The Pakistani government approved plans to import 500,000 tonnes of sugar on July 8, to maintain the price stability in the country after a sharp increase in retail sugar prices.

The Pakistani government received no bids for a tender on July 22, to purchase 50,000 tons sugar. Traders said the deadline to load the shipments between August 1-15, was too short to receive realistic offers.

For 50,000 tons, the new tender requires shipment between August 21-September 5 or September 1-15. Sugar in ocean shipping containers weighing 50,000 tons can be shipped between August 21 and October 10.

Containerised shipments can arrive up to 5 days after the 30th of September. Reporting by Michael Hogan, Editing by David Goodman

(source: Reuters)