Govt weighing surplus sugar export
The ECC noted that exports would not only solve the liquidity problem of sugar mills, but they would also fetch foreign exchange for the country. PHOTO: FILE
Federal Minister for Industries and Production Rana Tanveer Hussain has stated that the decision regarding the export of surplus sugar stock would be made in collaboration with all relevant departments.
The Sugar Advisory Board (SAB) convened under the chairmanship of Rana Tanveer Hussain to address the issue.
Federal Minister for Commerce Jam Kamal Khan and key stakeholders, including the Pakistan Sugar Mills Associations (PSMA), Kissan Ittehad, and provincial representatives, were present at the meeting.
The gathering deliberated and assess various factors, including sugar stock availability, prevailing market prices, sugarcane rates, global sugar prices, and industry production costs.
During the meeting, it was disclosed that this year's total sugar production stood at 6.8 million tons, with an additional 0.7 million tons of carryover stock from the previous year. The country's annual refined sugar requirement is reported to be 6 million tons.
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Rana Tanveer Hussain disclosed that sugar mills were currently sitting on approximately 4.5 million tons of sugar stocks.
He emphasised that any decision regarding sugar export would be made in collaboration with all pertinent departments, highlighting the government's paramount duty to safeguard domestic consumers' interests.
Hussain further asserted that if sugar export is permitted by the relevant authorities, the industry must ensure stability in domestic prices.
Representatives from the PSMA informed government officials during the meeting that Pakistan currently holds an excess of 1.5 million tons of sugar, advocating for its export.
Federal Minister Rana Tanveer Hussain reiterated that any rise in sugar prices directly affects the general public.
He emphasised the importance of meeting the local demand for sugar before entertaining the option of exports to bolster foreign reserves.
He affirmed that any decision regarding exports would only be made after thorough consultations with relevant departments.