Commodities Have Risen 30 to 50% in The Last One Year

INDORE, India - Sept. 8, 2017 - PRLog -- Commodities globally are in a bull phase showing signs on the horizon that hat Indian industry will have to cope with high raw material prices, and user industries will witness their costs rising.

China's economy has grown at an annual rate of 6.9% in the June 2017 quarter, beating the govt's target. The US economy have also grown rapidly than initially expected in the June quarter, notching its faster pace in more than two years, and there are indications that the impetus was sustained at the beginning of the September quarter.

United State's GDP increased at a 3% annual rate during April - June. In the 2004-07 period, commodities were in super cycle, and during 2010 - 2011 also commodity prices were in a cyclical up-move. Most commodities such as base metals, steel, iron ore, coal, naphtha, have risen on an average of 30 to 50% in the last one year, showing a strong rally.

For Indian firms, there has been some relief on account of the stronger rupee, which is 4.4% stronger against the US dollar, compared to the price that was a before one year.

India's Sugar output may grow 24% to 25.1 million tonnes in 2017-18:

As per industry body ISMA, India's sugar production is estimated to grow 24% to 25.1 million tonnes in the next marketing year, from October on higher sugarcane area.

India's Sugar production is estimated at 20.2 million tonnes in the ongoing 2016-17 marketing year i.e, in October-September. The production is supposed to rise in 2017-18 on the back of higher cane area owing good monsoon.

The government had allowed duty free import of 5.00 lakh tonnes of sugar in April - May this year to enhance domestic supply and is planning to allow more imports to check prices during impending festive season. India's sugar demand is 24 to 25 million tonnes yearly.

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