LAHORE: Sugar crisis due to unannounced strike by the sugar dealers after the action taken by the Federal Investigation Agency (FIA) is likely to get worse in days to come as wholesalers at Akbari Mandi claim that they have completely run out of the commodity.
A big wholesaler Asghar Butt while talking to Business Recorder said that total daily consumption of Lahore is 12,000 bags of 100 kg each. He said the district administration today lifted 1,000 bags of 50 kilograms each from Pattoki Sugar Mills and supplied to Akbari Mandi, Baghbanpura, Wahdat Road and Samanabad areas wholesalers.
However, he said this quantity is peanuts and cannot meet the daily requirement of a big city like Lahore. He also claimed that the sugar provided today was sold at different rates in different markets and the administration should have looked into it too.
Hamid Akmal, another wholesaler said that the situation would turn worse from Monday-Tuesday as the dealers do not have sufficient stocks to meet the requirement of the city.
Meanwhile, Cane Commissioner Punjab Muhammad Zaman Wattoo while talking to this scribe claimed that the situation has started returning to normalcy. He said today district administration picked stocks of sugar from different mills in their respective areas and sold these to public through markets.
According to the Punjab Sugar (Supply-chain Management) Order 2021 promulgated on Friday, it is now compulsory for a sugar factory, a broker, a dealer or a wholesaler to get registered with the Punjab Cane Commissioner's office and intimate any bulk sale or purchase.
The Cane Commissioner or the Deputy Commissioner of any district in case of fear of shortage can issue directions to an occupier of factory, a broker, a dealer or a wholesaler or a retailer to sell a specified quantity of sugar, held by such businesses, at notified ex-mill, wholesale or retail price, as the case may be.
The Cane Commissioner or Deputy Commissioner, in the event of shortage of sugar, may take possession of the stored sugar and sell or direct selling of such quantity of sugar, as he may deem necessary, through the dealers or wholesalers or retailers or officials of government of the Punjab in the market to the general consumers and deposit the proceeds thereof in the treasury, said the notification.
Cane Commissioner Muhammad Zaman Wattoo claimed that dealers have started getting themselves registered with the district administration and hoped it will lead to normal trade and normal prices of sugar in the province.
Sources in the wholesale market also claimed that traders having stocks in nearby markets of Lahore such as Gujranwala, Kamoke etc. sold their commodity to markets in Lahore but on higher rates. They claimed that these stocks were sold at Rs5300-5400 per 50 kilograms. Naveed Shafiq, a retailer, said that they had stopped selling sugar as it is not available freely.
Pakistan Sugar Mills Association (PSMA) Punjab Zone spokesman said that there was a wave of unrest among the brokers, dealers and retailers of sugar because of steps taken by the federal and provincial governments. He said that majority of the businessmen have stopped dealing in sugar due to which supply chain has badly hurt. He said the PSMA appeals to the government to understand the whole supply chain system and then take steps with mutual understanding to restore the supply line of sugar.
Copyright Business Recorder, 2021