August 30, 2024
ChiniMandi - https://www.chinimandi.com/pakistan-sugar-mills-association-threatens-to-halt-operations/
Lahore: The Pakistan Sugar Mills Association (PSMA) has warned that the country’s sugar industry may come to a standstill if the government does not ease its strict regulations, reports The News.
The issue was discussed during a meeting of the high-level officials of PSMA.
During the meeting, it was unanimously agreed that the sugar industry cannot commence the upcoming crushing season under the current regulatory framework. The association emphasized that the next season will not begin unless the industry is fully deregulated at both provincial and federal levels. The PSMA stressed that the sugar industry should be allowed to operate in a free market, similar to other crops like wheat, rice, and corn.
The spokesperson added that the mills will remain inactive until the existing sugar stock is exhausted. For several months, the industry has been seeking government approval to export 1.5 million tonnes of surplus sugar, but so far, only about 0.25 million tonnes have been authorized for export.
Members from the Punjab zone expressed that it is not viable to continue operations with 1.25 million tonnes of surplus sugar still in storage. They believe that starting the next crushing season with this excess stock would not be beneficial for farmers, as it could impact their payments. Currently, the sale of sugar in the market is limited.
The PSMA also noted that the sugar industry is a significant contributor to the national economy. The industry has deposited substantial foreign exchange into the national treasury for the country’s development and prosperity, all without relying on government subsidies or burdening the national grid for its energy needs.