PSMA member urges govt to allow surplus sugar exports to India

Profit by Pakistan Today, citing The News, reported that a senior Pakistan Sugar Mills Association (PSMA) member has pressed authorities to clear shipments to India of spare sugar, up to 1.2 million tonnes. Ch Muhammad Waheed, representing Hunza Sugar Mills Ltd, argued that such shipments would relieve inventory strain, strengthen mill liquidity and earn up to $600 million in foreign exchange. He said carryover stocks above 1.2 million tonnes were straining the industry before the coming crushing season.

The proposal comes as India is weighing imports of about one million metric tonnes, aimed at restraining rising prices at home. Waheed contended that Pakistan's closeness to India offers a freight-cost edge that could help it compete as a seller. Stocks stood at 2.81 million tonnes on August 15, against average monthly domestic use of 0.55 million tonnes.

Waheed stated that current inventories could cover home needs until at least December 2026, leaving room for exports while keeping a buffer. Separately, the Economic Coordination Committee (ECC) of the Cabinet on Wednesday cleared international tenders for the sale abroad of 108,000 metric tonnes of spare sugar. Finance Minister Muhammad Aurangzeb chaired the meeting that reviewed a summary from the Ministry of National Food Security and Research. The tendering follows PPRA Rules 2004, and the sugar, held by the Trading Corporation of Pakistan (TCP), is the remainder of 300,000 metric tonnes imported last year.