ISLAMABAD: (March 13 2004) The federal government Friday decided that the Trading Corporation of Pakistan (TCP) would purchase substantial quantity of surplus sugar either for export or for maintaining a buffer stock to cater for future domestic requirements.

The decision was taken a committee constituted by Liaquat Ali Jatoi, minister for industries and production, on March 8, in order to address the concerns of sugar industry. The committee meeting was chaired by Muhammad Javed Ashraf Hussain, secretary ministry of industries and production, said an official statement.

The committee was set up to consider the problems of sugarcane growers and sugar industry and suggest their solutions on short and long term basis.

The statement said problems of sugarcane growers and sugar industry were considered at length and it was noted that due to the bumper growth of sugarcane there will be a record production of sugar.

It is expected that sugar production will be 3.8 million metric tones as against 3.67 million metric tones during 2002-2003. It was estimated that at the beginning of the next crushing season, the carryover stock of sugar will be about 500,000 metric tons.

As a result there will be a large quantity of surplus sugar available with the sugar mills, it said.

Various proposals for the disposal of surplus sugar was considered and it was decided to recommend to the government to purchase substantial quantity of surplus sugar either for export or keeping it as buffer stock to cater for the future domestic requirements.

Sugar will be purchased through open tender within a specified time period by TCP, the statement said and added it was also decided by the committee that dues of the sugarcane growers would be cleared paid by the sugar mills simultaneously with the proposed purchase of sugar by the government.

The meeting was attended by Kamal Afsar, secretary commerce, Dr Ashfaq Hussain, economic advisor finance division, Dr M Hanif, agricultural development commissioner, ministry of food, agriculture and livestock, Sikandar M Khan, chairman Pakistan Sugar Mills Association, Sadiq Khan Khakwani, president Kissan Board Pakistan and concerned senior officers of relevant federal and provincial governments. —Staff Report.

Daily Times