ISLAMABAD: The government has increased shipment time for the export of sugar after sugar exporters expressed concern that the revision of terms and conditions and the closure of the Torkham border were causing delays in shipment.
The decision to this effect was taken by the Economic Coordination Committee (ECC) of the Cabinet in its latest meeting on a summary moved by the Ministry of Commerce.
The meeting was informed in a summary that the ECC has allowed the export of a total of 250,000 MTs of sugar, inclusive of 100,000 MTs allowed vide an earlier decision dated 15th December 2022.
Subsequently, dated 26th January 2023 on a summary moved by the Ministry of Commerce, the ECC approved certain amendments to the terms and conditions of export of sugar.
ECC extends sugar export time period to 60 days
As per the revised terms and conditions of export of sugar, Provincial Cane Commissioners have been entrusted with allocation of quota for export of sugar within seven days of the date of issuance of notification by the Ministry of Commerce as per policy already approved by the ECC while exporters are required to ensure that the consignments are shipped within 45 days of quota allocation.
Moreover, export proceeds would be received either in advance through banking channel, or within a period of 60 days of opening of LC for export of sugar.
The ECC was told that now sugar exporters have approached the Ministry of Commerce with the concern that revision of the terms and conditions of export of sugar, as well as the creation of shipment bottlenecks due to the closure of the Torkham border, is causing delays in shipment. Therefore, exporting sugar mills may not be able to meet the deadline of shipment within 45 days of quota allocation, and have requested that the time for shipment may be increased from 45 days to 60 or 90 days.
Copyright Business Recorder, 2023
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