In a major crackdown to tackle the ongoing sugar crisis, the federal government has taken control of all sugar stocks across the country. Officials from the Ministry of Food confirmed that stocks amounting to 1.9 million metric tons have been shifted from private sugar mills to government control.
Eighteen sugar mill owners have been placed on the Exit Control List (ECL), with an official notification of names expected in the coming days. The move comes amid fears of an artificial shortage and further price hikes.
Federal agents from the Federal Board of Revenue (FBR) have been deployed at all sugar mills to monitor inventory, and a track-and-trace system has been installed to keep real-time checks on sugar stock levels.
Sugar Mills Association rejects govt claims amid ongoing crisis
The Sugar Mills Association has denied government assertions regarding the ongoing sugar crisis, distancing itself from reports of stock seizures and shifting the blame for price hikes elsewhere.
In a detailed statement, the association claimed that all mills are selling sugar at an ex-mill price of Rs165 per kilogram. It maintained that the government, not market forces, is responsible for setting retail prices. The association insisted that ample sugar stocks are available in the country until mid-November, and any recent supply issues were due to administrative hurdles that are now being resolved.
Denying involvement in any seized stock, the association stated its role ends at the ex-mill level. It also accused dealers of prioritizing industrial buyers for higher profits and blamed speculators for creating an artificial shortage. Linking domestic price hikes to sugar exports was termed misleading.
The association added that the sugar sector has suffered years of losses, with 12 mills already shut down. It stressed that deregulation of the sector is the only viable solution to recurring issues.
