China sells 150,000 tonnes of sugar reserves

China has sold 150,000 tonnes of white sugar from reserves in the first of a series of auctions, market officials said on Friday.
The sugar was sold in three hours of bidding on Thursday at prices of between 2,810 yuan ($340) and 3,020 yuan per tonne, said an official at the Beijing market where the auction was held.
It was one of a series of sales by the government which is offering a total of 536,000 tonnes of white sugar from reserves to cap rises in domestic prices as demand outpaced production.
China had said it would auction 150,000 tonnes in July, August and September, and the remaining 86,000 tonnes in October.
Thursday's auction pushed down domestic prices by about 20 yuan per tonne from last week. Sugar prices in the major producing Guangxi region were quoted at 2,870 to 2,920 yuan per tonne and at 3,040 yuan per tonne in consuming Shanghai, market officials said.