Sugar sale 'resumes' at Utility stores

The sale of sugar has resumed at Utility Stores Corporation under the Prime Minister’s Relief Package across Pakistan, ARY News reported on Thursday, citing sources.

The supply was halted in the wake of the newly imposed Federal Excise Duty (FED) of Rs 15 per kilogram of sugar.

The sale of sugar at Utility Stores in Islamabad has resumed, the sources privy to the development said, and added, that supply will resume to USC across the country in a day or two.

It was learnt that the corporation had sought clarification from the Federal Board of Revenue (FBR) on the new tax on sugar.

To which, the FBR clarified that FED is not applicable to the sale of the commodity at the USC.

Earlier sources revealed that Utility Stores Corporation (USC) procured 10,000 metric tonnes of sugar at Rs141.20/kg.

Read more: Utility Stores Corporation ‘procures’ 10,000 metric tonnes sugar

Sources privy to the development said the Utility Stores Corporation procured the 40,000 metric tonnes of sugar from the tender of 45,000 metric tonnes issued.

It is pertinent to mention here that a total of Rs 65 billion were allocated for the PM’s and Ramadan packages in the budget out of which Rs 10 billion were allocated for the PM’s Ramadan Relief Package, and remaining Rs 55 billion for the PM’s Relief Package.

Additionally, Rs 35 billion were allocated under the PM’s package for the ongoing financial year.