Shares of Rajshree Sugars & Chemicals Ltd soared 19.99% on Tuesday, September 2, to lock at the upper circuit of ₹45.26 on the NSE, compared to its previous close of ₹37.72. The stock hit the day’s high of ₹45.26 right after opening and remained locked in gains as investors rushed in.
Why are Rajshree Sugars shares up today?
The rally was driven by the Indian government’s notification on Monday allowing sugar mills and distilleries to produce ethanol from sugarcane juice, syrup, and all types of molasses without any restrictions on volumes in the upcoming 2025/26 supply year, which begins on November 1, 2025.
This policy shift comes after earlier restrictions due to lower cane supplies. With back-to-back good monsoon seasons boosting sugarcane output, the move is expected to unlock higher ethanol revenues for sugar companies.
Rajshree Sugars, which has invested in expanding ethanol capacity, is expected to benefit directly from this development, fueling strong buying interest in the stock.
Stock snapshot – Rajshree Sugars & Chemicals (NSE)
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Current Price: ₹45.26 (+19.99%)
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Previous Close: ₹37.72
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Day Range: ₹38.89 – ₹45.26
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52-Week Range: ₹35.60 – ₹78.60
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Market Cap: ₹1.53B
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Avg Volume: 37.19K
Outlook
The ethanol push aligns with India’s broader goal of achieving 20% blending of ethanol in petrol by 2025/26. Sugar companies with strong ethanol capacity like Rajshree Sugars are set to see long-term growth opportunities under this supportive policy framework.