The Pakistan Sugar Mills Association (PSMA) has asked the government to permit the export of sugar because the nation has an excess supply that could bring in up to $2 billion.
Asim Usman, the chairman of PSMA, stated during a news conference on Thursday that the association brought up the issue during a meeting of the Sugar Advisory Board, which also included Federal Ministers Tariq Cheema and Naveed Qamar.
The difficulties the sugar sector was experiencing were informed to the Sugar Advisory Board.
A glut of sugar is present in the nation, and Pakistan may earn $2 billion in foreign cash by exporting 1 million Tonnes of sugar this year and 1 million Tonnes the next year.
According to the chairman, the Sugar Advisory Board is opposed to allowing the export.
He stated that the government and the advisory board were invited to independently verify the sugar stock data, and that the Federal Board of Revenue (FBR) has complete statistics and reviews how much sugar is consumed monthly.
“We do not demand subsidy on sugar because we have 1.3 million tons of sugar worth Rs. 100 billion in stock till 30th November 2022,” he added.
Former Chairman Zaka Ashraf stated that the crushing season will begin in one month. If the existing stock is not used until the following season, where will the new stock be stored, and how will farmers be compensated?
According to Ahmed Ibrahim, Chairman of Sindh Zone, the industry pays farmers Rs. 500 to 600 billion per year for sugarcane, and if sugar cannot be exported, farmers will be unable to cultivate sugarcane. “We have not made any threats of a strike but we say that if this situation continues, the sugar mills will not be able to run,” he added.
Former chairman PSMA Aslam Farooq, Former chairman Sindh Zone Zahid Zakaria, and Chaudhry Waheed also addressed the press conference and requested Prime Minister Shehbaz Sharif, Finance Minister Ishaq Dar and Commerce Minister Naveed Qamar to give time so they can be appraised about the advantages of export of sugar.
To read our blog on “Sales tax revenue from sugar business has grown by 33%, FBR,” click here
