Punjab prepares action plan against sugar mills failing to begin crushing

LAHORE: The Punjab Cane Commissioner has finalized an action plan against sugar mills that fail to commence crushing from today (November 26), ARY News reported on Sunday.

As per details, Sugar mills that do not begin operations will face a penalty of Rs 1 million per day, the cane commissioner said.

According to the Punjab Cane Commissioner, 27 sugar mills across the province have already started the crushing season, while the remaining 14 mills will be inspected today, after which action will be taken in accordance with the law.

The Cane Commissioner further stated that monitoring teams have been constituted to oversee the crushing season and ensure compliance.

He assured that timely payments to farmers for sugarcane would be guaranteed and that the arrival of newly produced sugar in the market is expected to help reduce prices.

On November 11, the Cane Commissioner of Punjab directed all sugar mills of the province to start crushing from November 15.

Earlier on November 4, the Sugar Mills Association (SMA) warned the government about the rising prices of sugar across the country.

The SMA stated that it had informed the government not to import sugar unnecessarily. It also requested the government to keep the Federal Board of Revenue (FBR) portals open.

On the other hand, the FBR portals were shut down for importing substandard sugar. This shutdown resulted in a shortage of sugar in the market and an uptick in its prices.

The SMA said that the sugar industry is not responsible for the increased prices nor a beneficiary of them. The disruption in the supply chain has created a hurdle in the provision of sugar, the SMA complained.