Banning inland subsidy on sugar: government's decision to deprive country of Rs 45 billion exports

Decision of banning inland subsidy on sugar export will deprive the country of Rs 45 billion exports and also it will block payment of Rs 15 billion to the growers, which is still owed by the sugar millers. "Caretaker government should not play with the set policies introduced by the last elected government which was not only helping the exports of surplus sugar but also ensuring the timely payments to sugarcane growers," said Agri Forum Pakistan Chairman Dr Ibrahim Mughal.
Mughal while talking to Business Recorder here on Thursday strongly reacted to the decision of the caretaker minister for commerce and textile industry, Maqbool H H Rehmatoola of reportedly imposing a ban on release of inland subsidy on export of sugar as well as the subsidy under the strategic trade policy framework.
He said that the international rates of sugar were 460 dollars per ton and if the subsidy introduced by the last government was removed then it will not only stop its exports but also enhance the gap between national exports and imports putting extra burden on the national exchequer. Mughal said that sugar mills still have to pay Rs 15 billion to the growers. He said if payment to farmers stopped then they would not be able to sow the cotton and rice crops.