ECC approves summary for sugar import

The Economic Co-ordination Committee (ECC) of the Cabinet on Friday approved the summary from the Ministry of Finance (MoF) and directed the Trading Corporation of Pakistan (TCP) to import 0.4 million white sugar on war-footing to fill the gap between demand and supply. It also allowed duty-free import of raw sugar by the private sector.
The meeting, chaired by Prime Minister Shaukat Aziz, took serious notice of the surging sugar prices and hoped that the import of refined sugar by TCP and of raw sugar by the private sector would act as instrumental in bringing the prices down.
The TCP was asked to complete the homework and float next week international tender for import of sugar. The TCP would also work out strategy to release its stock of sugar in the open market.
The TCP will provide refined sugar to the Utility Stores from its stock and it will be sold at Rs 23 per kg.
The Prime Minister directed the officials that they should take all possible steps to ensure smooth supply of sugar to the consumers at reasonable rates.
Dr Ashfaque Hasan, Adviser to the Finance Ministry, briefed the meeting on sugar supply and demand situation. He said that sugar mill-owners had violated their commitment with the government to keep the prices at reasonable level, and opted for high prices. He said that the Monopoly Control Authority (MCA) has been directed to take action against the cartel formed by sugar manufacturers. He also presented a report to the meeting on prices of sugar.
TCP Chairman Masood Alam Rizvi, talking to Business Recorder, said the Corporation would float international tender next week to import sugar and ensure that sufficient commodity remains in its stock to ensure smooth supply in the open market.
He said that the entire shipment of sugar would be completed before Ramazan.
The meeting also approved a summary of Ministry of Food and Agriculture and allowed TCP to import 0.25 million tonnes urea through international tender for Rabi crop. The TCP would float tender for import of urea in instalments, each of 50,000 tons, and complete the entire shipment by the end of October.
The meeting also reviewed the sensitive price indicator (SPI) for the week ended on June 23 as well as prices of sensitive items. It was told that due to import of important kitchen items the prices of household items were going down.
It also reviewed and discussed sensitive list for ECO trade agreement submitted by the Commerce Division.
The meeting approved a summary allowing transfer of Pakistan Steel Mill's Downstream Industrial Estate to National Industrial Parks Development and Management Company.