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The Lahore High Court on Wednesday ordered formation of a commission to determine the facts about sugarcane crop, its environmental impact as well as its damage to the crop of wheat and cotton in response to a petition of Pakistan Cotton and Grinners Association.
However, Haseeb Waqas sugar mills, owned by Sharif Family submitted its reply in contempt petition while court directed, Ittefaq and Chuadhary Sugar mills to come up with their reply on June 13. Earlier advocate Khwaja Haris advanced his arguments on behalf of the Punjab government and court adjourned the hearing for further arguments. JWD, sugar mill owned by PTI leader Jahangir Khan Tareen had challenged shifting of sugar mills in southern Punjab.
Haider Zaman Qureshi, the counsel for Pakistan Cotton and Ginners Association, argued that the government did not do any research and development and made no investment in Southern Punjab where sugar mills were already over burdened with sugar canes. The farmers were not being paid he said and added the sugar mills should permanently be banned in cotton growing areas.
Qureshi said that cultivation of sugar mills in South Punjab damaged the land and water level and also caused financial loss to farmers. He said it had replaced all other crops including wheat and cotton which he said was a big loss. A report prepared by Agriculture Secretary said that sugar mills in Southern Punjab had triggered cultivation of sugarcane crop by replacing other crops including cotton and wheat and Punjab CM was not being informed about actual situation, he added. Water level is going down in those areas where sugar crop was being cultivated in eleven districts including RahimYar Khan, Bahawalnagar, Bahawalpur, Muzzafargarh, Okara, Pakpattan, Khanewal, Layyah, Rajanpur and Sahiwal.
In April 2011, Qureshi argued, a technical committee, held that "Sugar industry which is mainly based on sugarcane has expanded well in Punjab with the outcome that existing 45 sugar mills are already operating under capacity since area under sugarcane already suffers from water stress. "Therefore, any further addition would amount to wastage of capital and other resources," he added. The committee also suggested that "Industrial policy in the province needs to be reviewed and realigned to channelize our resources to directly needed areas of investment," the counsel said and submitted a report. The court after hearing his arguments, ordered for constitution of a commission.

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