Ban on inter-provincial movement hurts sugar sale
Sugar crisis. (file) Photo
The Pakistan Sugar Mills Association (PSMA) has emphasised that the sugar industry has always cooperated with the government in the larger national interest, however, the sale of sugar in the market has been badly affected by the ban on inter-provincial and inter-district movement of the commodity and the closure of the Federal Board of Revenue’s (FBR) portal.
In a meeting with Punjab Cane Commissioner Amjad Hafeez, the secretary general of PSMA said that like other crops, floods and torrential rains had also damaged sugarcane plantations over a large area and the crop would take time to fully mature.
He pointed out that the government had already been intimated that sufficient stocks of sugar would be available in the country till mid-November, but despite the assurance, the government accepted tenders for import of 350,000 metric tons for which duties and taxes had been waived.
“With the arrival of imported sugar and the presence of stocks in mills, it will not be feasible to kick off the crushing season early,” he remarked.
He expressed concern that if such restrictions on the free movement of sugar continued, it would not only affect the industry but also the sugarcane growers. The secretary general demanded that the government take stock of the grave situation and steer the country out of crisis in association with the sugar industry.
A week ago, the PSMA in a statement said that the FBR had halted the sale of sugar across the country through its online portal, prompting strong objections from members of the association.
While expressing concern over the FBR’s move to restrict sales by sugar mills via the portal, the PSMA pointed out that there were no such restrictions on the sale or pricing of imported sugar, calling for a level playing field.
An association spokesperson warned that such policies could lead to a severe market crisis. They cautioned that restricting domestic sugar sales may cause shortage in the market, potentially resulting in a surge in prices.