ISLAMABAD: Pakistan Sugar Mills Association (PSMA) has refused to supply sugar to USC at subsidized rates of Rs 63 per kg.
On June 14, 2020, in a letter to Yasir Iqbal, Cost Accounts Officer, Ministry of Industries and Production, the Association has explained its position on offer to sell sugar to government.
PSMA stated that it is writing with reference to a letter of Ministry of Industries and Production's letter of June 12, 2020 per pertaining to the interim order on its writ petition. The Association said that it has not yet received any letter of USC.
According to PSMA, in compliance with the interim order, the sugar mills are making the 60,000 tons of sugar available at the discounted/ below market price of Rs 70 per kg to cater to domestic demand of the non-commercial consumers till June 25, 2020.
The suggestion in the MoI&P letter/ USC letter for supply of sugar at Rs 63 per kg has no legal basis. As already specified in the PSMA letter, the federal government may make arrangements for lifting sugar from specified mill premises through any means or agency, considered appropriate including USC, against payment of Rs 70 per kg to the relevant mill.
PSMA is of the view that since discounted sugar is already available, the federal government may fulfill its obligation and responsibility under the interim order to ensure supply of the discounted sugar to non-commercial consumers at Rs 70 per kg. In the meanwhile, till such arrangements are finalized between the federal government and PSMA, the sugar mills have voluntarily stepped up to also up outlets and started direct sales to non-commercial consumers of sugar at Rs 70 per kg.
The sugar millers are of the view that commitment of PSMA in terms of the interim order has been compiled with.
PSMA, Punjab (Zone) has also written letter to Director Food Punjab that the offer is between PSMA and federal government and it has nothing to with Punjab as a province.
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