government allows cheaper
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Government allows cheaper export of costly importe…

ByJustpaste.in

The federal Ministry of Industries and Production has allowed the export of imported sugar at a lower price, a decision that could cause billions of rupees in losses to the national exchequer, according to ministry sources.

Sources said the government has permitted the export of 100,000 tonnes of sugar. However, a decision on exporting 250,000 tonnes of cheaper locally produced sugar has not yet been taken.

The sources described the decision to allow the export of only 100,000 tonnes as disappointing. They said the move could create financial losses because the sugar being exported was imported at a comparatively higher cost.

The sources further warned that the decision could also affect sugarcane procurement in the country. According to them, sugar mills may face difficulties in purchasing sugarcane from farmers if the current situation persists.

Sugar mill owners had already informed the Ministry of Industries and Production about the issue, sources said. They had reportedly warned the ministry that the limited export decision could make it difficult for mills to manage their stocks and purchase the upcoming sugarcane crop from farmers.

The government is now facing a challenge in balancing sugar exports, domestic prices, the interests of farmers and the financial impact on the national exchequer.

Sources said further decisions regarding the export of locally produced sugar are expected after reviewing the market situation and available stocks.

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