Islamabad: In a comprehensive meeting chaired by Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb, the Economic Coordination Committee (ECC) approved an additional export of 0.500 million metric tonnes of surplus sugar, citing sufficient stock levels to meet both domestic and strategic needs.
According to Press Information Department, the decision follows a detailed review of current sugar reserves and consumption patterns. The Ministry of Industries and Production provided data indicating that, as of September 30, 2024, sugar stocks stood at 2.054 million metric tonnes, with the consumption over the last ten months of the current crushing year totaling 5.456 million metric tonnes. Projections for the next two months suggest an offtake of approximately 0.900 million metric tonnes. With 0.140 million metric tonnes yet to be exported under previous ECC approvals, the estimated stocks by November 30, 2024, would be around 1.014 million metric tonnes. After setting aside 0.450 million metric tonnes as a strategic reserve for one month, a surplus of 0.564 million metric tonnes would still remain.
The ECC’s approval is contingent on several conditions: the Pakistan Sugar Mills Association (PSMA) must ensure that their mills will commence production by November 21, 2024, for the next crop year, and any non-compliant mill will have its export quota revoked. Exporters are also required to ship their consignments within ninety days of quota allocation by the respective Cane Commissioners. Additionally, the State Bank of Pakistan (SBP) retains the authority to revoke this permission if necessary to stabilize the domestic market and maintain retail prices.
The committee also directed the Cabinet Committee on Monitoring Sugar Exports to continue its oversight of the sugar market and provide updates on the demand, supply, and price situation, particularly concerning the newly approved exports. Furthermore, the ECC approved a compensation package for the deceased Chinese employees of Port Qasim Electric Power Company (Private) Limited as discussed in a separate summary from the Ministry of Energy (Power Division).