Sugar shipments from India, the second-biggest producer, have slowed after domestic prices climbed to a 15-month high and as a delay in announcement of export incentives deters traders, the largest refiner said.
Wilmar International Ltd., the world’s largest palm-oil processor, plans to acquire a stake of less than 25 percent in India’s Shree Renuka Sugars Ltd., according to two people with knowledge of the matter.
Shree Renuka Sugars Ltd., India’s top refiner, forecasts a drop in output will propel domestic prices of the sweetener to a three-year high by January and help the company stem four straight quarters of declining profit.
India, the largest sugar user, has 450,000 metric tons of raw sugar and 150,000 tons of the white variety lying at ports that can be exported, according to the country’s largest refiner of the commodity.
Sugar production in India, the world’s second-biggest grower, may be more than estimated as the highest monsoon rainfall in 19 years boosts yields hurt by a drought a year earlier, a growers’ group said.