HAMBURG: The lowest price offered in the international tender from Pakistan to buy 100,000 metric tons of sugar which closed on Monday was believed to be $533 a metric ton cost and freight included (c&f), European traders said in initial assessments.
Offers in the tender from the state trading agency Trading Corporation of Pakistan (TCP) are still being considered and no purchase has yet been reported, they said.
The TCP can negotiate for several days in tenders before deciding whether to purchase.
The tender seeks small/fine or medium grade sugar and is the latest in a series aimed at increasing supplies to cool local prices, seeking arrival of all the sugar in Pakistan by Nov.15.
The lowest offer was said to have been submitted by trading house ED&F Man for 29,500 tons of small grade sugar. ED&F Man also offered $549 a ton c&f for another 25,000 tons of small grade.
Two other trading houses also participated in the tender.
Dreyfus offered 53,000 tons of small grade at $542.50 a ton c&f and Al Khaleej Sugar offered 30,000 tons of medium grade at $567.5 a ton c&f, traders said.
Reports reflect assessments from traders and further estimate of prices and volumes are still possible later.
TCP’s tender seeks sugar sourced from any worldwide origin excluding India and Israel or what it called any other banned or sanctioned countries, without elaborating.
Pakistan’s government has approved plans to import 500,000 tons of sugar to help to maintain price stability after retail sugar prices in the country rose sharply.
TCP held a series of sugar tenders in the past weeks with the last purchase of 80,000 tons reported on Sept. 29.
