Chairman Pakistan Sugar Mills Association (PSMA) Punjab Zone Javed Kayani has said that there are sufficient stocks of sugar available in the country and there is no possibility of shortage of sugar. While commenting on whether mills have curtailed supply of sugar to increase the price he said it is just a baseless allegation against sugar industry.
Contrary to these accusations mills are keeping huge stocks of sugar and there is no sale of sugar for the last one month. In such a situation blaming sugar mills for planning to create artificial shortage of sugar is neither justified nor truthful.
He said that allegations of cartel have proven wrong in past as well. Price is driven according to demand and supply and there is no manipulation on our part.
Chairman Javed Kayani said for the last four years surplus stocks have kept the prices subdued. With sugarcane price of Rs 180/40 kg our cost of production works out to be around Rs 62/63 per kg ex-mill. That is why we sought permission to export and restrict dumping of sugar to ensure payment to farmers.