For sugarcane farmers

It is no surprise that the new law has caused disquiet among mill owners as they say it has made business impossible


September 27, 2020

Since the past decade, the country has been facing sugar crisis after an interval of every few years mostly due to obvious reasons. In a nutshell, the malady can be ascribed to market manipulation by vested interests. Getting notice of this situation, the PTI-led Punjab government has brought in a new law to rein in the activities of unscrupulous elements to provide relief to cultivators and consumers. The Sugar Factories (Control) Amendment Ordinance 2020 introduces several new measures to end this exploitation of cultivators at the hands of dishonest sugar millers. For instance, delaying payment to farmers and issuing hand-written receipts to them while buying sugarcane has been made a punishable offence.

The ordinance has introduced changes to the Sugar Factories Control Act of 1950 to control the alleged sugar mafia. Mill owners can now be awarded three years imprisonment with a fine of Rs5 million for delaying payment to the cultivators or making deductions from money payable to the latter on the pretext of the stock being underweight. Factories can now purchase sugar only by issuing proper receipts. Issuance of hand-written receipts will be treated as a cognizable offence. The factories will directly deposit the payments into the farmer’s bank account. The amended ordinance empowers the sugarcane commissioner to collect the amount factories owed to farmers. The delaying of sugarcane cultivation will be punishable by three years in jail with a fine of Rs5 million, with the offence having been made non-bailable and the cases will now be dealt by Section 30 Magistrate.

It has come as no surprise that the new law has caused disquiet among mill owners as they say it has made business impossible. They would announce their strategy soon. Since lately complaints of above-mentioned nature have also been reported in Sindh, it is hoped that the provincial government too will facilitate sugarcane farmers.

 

Published in The Express Tribune, Septe0mber 28th, 2020.

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