Sugar-free portfolio is the best bet

Sugar-free portfolio is the best betDeclining sugar prices in international market has caused a concern for the Indian investors. Last year sugar stocks were in the good performer's list and had produced a huge return for the investors. But from the beginning of this year, they have failed to regain the confidence of the investors.

The international decline in sugar prices has pulled the share prices of sugar companies down. Market analysts believe that this downtrend of sugar prices will continue for some time. Hence, the investors are advised to keep their portfolio "sugar-free". That means advisors have asked their clients not to buy any sugar stocks at present.

International sugar price are currently at a 7-month low. In India there has been a decline of over 30% in share prices of leading sugar companies like Shree Renuka Sugar, Balrampur Chini and Bajaj Hindusthan. Other stocks like Rajshree Sugars, Sakthi Sugars and Dhampur Sugar have fallen between 38% and 47%.