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Sugar mills accused of violating rules in cane
purchase
KARACHI (April 02 2004): The Pakistan Sugar Mills
Association (Sindh Zone) has expressed its
inability to follow the advice of the Sindh Cane
Commissioner regarding the unauthorised purchase
of sugarcane from non-growers/middle men.
The cane commissioner, in a letter to the sugar
mills of Sindh, has pointed out that it has been
brought to his notice that the purchase
agents/middle men have become active, and some
sugar mills are purchasing cane from non-growers
of sugarcane, who are also acting as middle
men/purchasing agents, in violation of Sugar
Factories Control Rules.
He warned that "this act is not only the violation
of the provisions of Section-11 of Sugar Factories
Control Rules, 1950, but the cane growers are also
deprived of genuine price of sugarcane notified by
the government."
The PSMA-SZ, taking note of the Cane
Commissioner's letter to the member mills, replied
that "the core point to note is that if the sales
do not take place on such pattern, invariably
purchase will never get in.
"Over this, the mills management have no say. Your
letter and advice under reference are, therefore,
not compatible with the existing ground realities,
and may not be complied with despite best of the
intentions and efforts", said the PSMA-SZ.
It also asserted that the Sugar Factories Control
Act, 1950, and rules thereof relating to sugarcane
marketing had become non-functional on removal of
the zoning system in 1987, adding the Act and
Rules were designed under the zoning system, which
no more existed.
The Rule 11 of Sugar Factories Control Rules, 1950
read as under:
"General provisions regarding purchase of cane:
(1) No person shall transfer or abet the transfer
of a requisition slip for the cane of a grower to
another person with the object of enabling cane
other than that belonging to the grower for whom
the requisition slip has been issued to be sold to
a factory. (2) No person shall falsely represent
himself as a grower of cane, or as authorised by
such grower to deliver cane on his behalf for a
person duly authorised by the grower to receive
payment on his behalf."
The cane commissioner advised the sugar mills to
ensure immediate measures for stopping such
illegal activity by the purchasing agents/middle
men under intimation to his office.
Courtesy Business Recorder |
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Pakissan.com; Advisory Point
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