Sugar mills across Punjab will begin purchasing sugarcane from November 15 following an official notification issued after approval by the governor.
Under the notification, sugar mills will determine sugarcane prices through market forces, according to sources.
Around 2.452 million acres have been brought under sugarcane cultivation in Punjab this year, representing a 16 per cent increase compared with the previous year.
Of the 47 sugar mills operating in the province, 41 are currently functional. The Punjab Food Safety and Consumer Protection Department has said it will ensure the protection of farmers’ rights.
Sugar mills raise concerns over short notice
Meanwhile, the Sugar Mills Association of Pakistan’s North Zone has expressed reservations about the government’s directive, saying mills need at least 15 days to become fully operational.
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In a statement, the association said the Sugarcane Act, 1950, allows sugar mills to commence operations by November 30. It added that boilers and heavy machinery require approximately two weeks to be prepared for crushing.
The association said the Punjab government issued the notification at 9pm, directing mills to begin crushing on November 15, and described immediate implementation as impractical.
Industry seeks export of surplus sugar
The association also claimed that 100,000 tonnes of the government’s 300,000 tonnes of imported sugar remain unsold.
It further stated that approximately 1.3 million tonnes of surplus sugar are stored in mill warehouses, adding that mills have paid billions of rupees in markup and taxes on unsold stocks.
The industry body expressed concern over the absence of accountability measures against officials allegedly responsible for providing incorrect figures.
It urged the government to allow the immediate export of surplus sugar and called for the complete deregulation of the sugar sector.
