expensive sugar export
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Expensive sugar export decision raises concerns

ByJustpaste.in

 

Lahore: The federal Ministry of Industries and Production has reportedly allowed the export of sugar that was imported at a higher cost, raising concerns over potential losses to the national exchequer.

Sources within the ministry said the government has yet to approve the export of around 250,000 tonnes of locally produced sugar, which is available at a comparatively lower cost. Instead, authorities have decided to permit the export of only 100,000 tonnes, a move that industry sources have described as disappointing.

According to the sources, the decision could create further difficulties for the sugar industry and affect the procurement of sugarcane from farmers. Sugar mill owners have already warned the Ministry of Industries and Production that they may face difficulties purchasing the upcoming sugarcane crop under the current circumstances.

The sources expressed concern that allowing the export of expensive imported sugar while holding back cheaper locally produced stocks could increase financial pressure on the country. They also questioned the rationale behind exporting only 100,000 tonnes when a significantly larger quantity of locally produced sugar remains available.

Sugar industry stakeholders have warned that the situation could affect the entire supply chain, particularly farmers who depend on sugar mills for the purchase of their sugarcane crop. If mills struggle to sell their existing stocks or face financial constraints, they may find it difficult to make timely purchases from growers.

The development has also raised questions about the government’s sugar management policy, particularly its approach to balancing domestic availability, imports, exports and the interests of farmers and millers. Industry representatives are now seeking a clearer policy to prevent disruptions in sugarcane procurement and avoid further losses to the national economy.

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