HAMBURG: The lowest price offered in the international tender from Pakistan to buy 100,000 metric tons of sugar on Monday was believed to be $545 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 TCP’s tender seeks price offers for fine, small and medium-grade sugar, with shipment arranged for arrival of all sugar by October 31.

The lowest offer was said to have been submitted by trading house Sucden for 25,000 tons of small/fine grade sugar. Sucden

also offered USD565 for 25,000 tons of small grade sugar, traders said.

Four other trading houses also participated in the tender, all offering all per ton c&f.

Dreyfus offered 27,000 tons of small grain at USD554, Al Khaleej Sugar offered 30,000 tons of medium grade at USD578.50 and Cofco offered 25,000 tons of small grade at USD569.

Bare offered 100,000 tons of each grade, with small/fine at $550, small at USD560 and medium at USD570.

Reports reflect assessments from traders and further estimates of prices and volumes are still possible later.

The TCP’s tender seeks sugar sourced from any worldwide origin excluding India and Israel or other sanctioned countries.

Pakistan’s government has approved plans to import 500,000 tons of sugar to help maintain price stability after retail sugar prices in the country rose sharply.

The TCP has held a series of sugar tenders in July and August. Traders estimate that 135,000 tons have been bought in the recent tenders.—Reuters