London white sugar futures settled lower on Tuesday in thin turnover as the market turned its attention to a tender on Wednesday by Thailand of 400,000 tonnes of raw sugar for 2005 shipment, traders said.
October closed down 80 cents at $244.7 a tonne in volume of just 639 lots, having traded between $246.9 and $244.5.
December lost $1.3 to $250.0.
Traders noted arbitrage, with a whites-over-raws premium of around $64.50, as well as light trade buying and spread activity.
They said physical sugar business was subdued as high prices discouraged potential customers, and noted a lack of offtake by key players including Russia, India and China.
The sugar in the tender of the Thai Cane and Sugar Corporation (TCSC) is to be shipped out between March 1 and May 15, May 1 and July 15, and July 1 and September 15.
International trading firms will be allowed to buy up to 133,333 tonnes for each shipment period.
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