The Punjab Zone of the Pakistan Sugar Mills Association (PSMA) has resolved not to commence the upcoming crushing season due to stringent regulatory conditions. This decision was reached during an emergency meeting attended by key members of the Punjab sugar mills.
A spokesperson for PSMA Punjab Zone stated, “The consensus at the meeting was that initiating the next crushing season under the current stringent regulations is unfeasible. Therefore, it has been collectively decided that operations will not begin until there is complete deregulation of the sugar industry at both the provincial and federal levels.”
The sugar industry is also advocating for a deregulated market similar to those for wheat, rice, and corn. Additionally, the mills have decided not to resume operations until their current sugar stock is depleted. The industry has been pushing for the government’s approval to export 1.5 million tonnes of surplus sugar stock, but so far, only 0.25 million tonnes have been approved for export.
All members of the Punjab Zone agreed that as long as the remaining 1.25 million tonnes of surplus sugar remain in their warehouses, they will be unable to operate. These measures are being taken in the interest of farmers, as commencing the crushing season with the current stock could hinder their payment prospects. Moreover, the market demand for sugar remains limited.
The sugar industry is unique in its contribution to the national exchequer, generating significant foreign exchange without relying on government subsidies or burdening the national grid for its energy requirements.
