Assurance: Sugar stocks are adequate, says PSMA

LAHORE: Sufficient stocks of sugar are available in the country and the recent increase in prices of the commodity is due to the market mechanism, said a spokesman for the Pakistan Sugar Mills Association Punjab Zone. “When payments of sugarcane growers are cleared every year, the pressure of sales on sugar mills decreases due to which fluctuation in sugar prices is a normal phenomenon,” the spokesman stated. Owing to continued increase in sugarcane prices, the cost of sugar production had increased considerably, which stood at Rs64 to Rs65 per kg ex-mill, he said, adding if the mark-up of March-July was taken into account, then the ex-mill price should be Rs66 to Rs67 per kg. He insisted that there was no contraction in the supply of sugar  however, sometimes middlemen would try to exploit the situation.

Published in The Express Tribune, July 29^th, 2016.

Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.