Sale of sugar at Rs 40/kg: provinces to use designated shops

02 Nov, 2009

The provincial governments will use designated and registered shops in addition to Utility Stores as a tool to provide sugar at uniform rate of Rs 40 per kg to domestic consumers, said Secretary Finance Salman Siddique while talking to Business Recorder.
He said that the provinces have their own implementation mechanism to ensure availability of sugar to domestic consumers at the price determined by the apex court. According to him, Punjab government would ensure availability of sugar at Rs 40 per kg at the registered/designated shops.
He said that Sindh and Balochistan have their own implementation mechanism, which they would use to ensure sale of sugar at Rs 40 per kg while in NWFP, he maintained sugar for domestic consumers would be available at limited outlets. The utility stores would provide additional support to the provinces, he added.
Secretary Finance said that Ministry of Industries and Production would co-ordinate and remain in constant touch with the provinces to implement the court''s decision. According to him Pakistan Sugar Mills Association (PSMA) has committed to provide 30 percent sugar for domestic consumption and 70 percent in the wholesale market for industrial purpose.
To a question, he said that the Ministry of Finance has nothing to do with the implementation rather it is the sole responsibility of the provinces. However, the federal government would extend help to the provinces to ensure the sale of sugar at Rs 40 per kg to facilitate domestic consumers till the end of November as per the period of the interim arrangement declared b y the apex court.
The government has submitted before the apex court that for a period of one month, November 2009, sugar meant for household consumption shall be sold at the uniform price of Rs 40 per kg in every nook and corner of the country. The respective provincial governments will designate kiryana/retail shops or any other arrangement in appropriate localities as sale point/rations depots''.
A leading sugar miller said that government should chalk-out a long-term policy to avert such a crisis. According to him the sale of sugar at designated shops would not serve the purpose because there is a strong possibility that this mechanism would be exploited by the wholesale/retail/smuggler mafia in connivance with the employees or owners of the designated shops.
The draft of the proposed sugar policy for the current fiscal year envisages medium and long-term measures but they are yet to be discussed and approved by the cabinet. Additionally the provincial chief ministers who are mainly responsible for the implementation are yet to be invited to this cabinet meeting to take place this coming week.

Read Comments