Govt seeks to omit tendering process for purchase of sugar

Will buy 100,000 tonnes from sugar mill owners for utility stores

ISLAMABAD: The government has decided to omit the tendering process for the purchase of 100,000 tonnes of sugar for the Utility Stores Corporation (USC) from the mill owners.

A summary in this regard has been sent to the federal cabinet for approval.

The step comes as the Pakistan Tehreek-e-Insaf government battles to control the rising price of the commodity to provide relief to the masses.

USC Chairman Zulqarnain Khan told The Express Tribune that hadn’t it been for Prime Minister Imran Khan’s intervention, the sugar mill owners would not have agreed to provide sugar on cheaper rates.

Sugar price hike strikes on the heels of flour crisis in Pakistan

Late last month, Premier Imran formed a three-member committee – comprising Federal Investigation Agency director general, Intelligence Bureau representative and Punjab Anti-Corruption Establishment director general – to probe the recent hike in sugar rates.

The committee has been tasked with ensuring efficient monitoring of sugar production, its pricing, industry malpractices and impact on farmers.

Of the total amount, the USC chairman said, 20,000 tonnes would be purchased from PTI stalwart Jahangir Tareen.

“Tareen has informed the prime minister that the sugar mill owners are ready to bear the loss of Rs1.5 billion for the masses,” Zulqarnain said.

He said that Tareen would provide sugar at Rs67 per kilo while the other sugar mill owners at Rs70 per kilo.

“The market rate of sugar is Rs81 per kilo while we will be getting it at Rs67 per kilo.”