Sugar mill stocks: Govt takes step to ensure steady supply

ISLAMABAD: In a decisive move to stabilise sugar prices and ensure steady market supply, the federal government on Monday directed strict oversight of sugar mill stocks following reports of violations of a recently agreed price cap and disruptions in supply.

Chairing a meeting, the Federal Minister for National Food Security and Research expressed concern over non-compliance by several sugar mills with the agreement signed between the government and the Pakistan Sugar Mills Association (PSMA) earlier this month.

The agreement, inked on July 14, fixed the ex-mill sugar price at Rs165 per kilogramme, effective from July 15 to August 15. Despite repeated assurances, officials informed the meeting that some mills were not releasing sugar stocks on time and were failing to ensure consistent supply to the market.

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In light of this, the minister directed the concerned department to deploy officials at all sugar mills to closely monitor stock levels and guarantee uninterrupted supply in line with the agreed framework. “The government is committed to maintaining price stability and ensuring availability of sugar in the market. Any violation of the agreement will not be tolerated,” the minister warned.

Reaffirming its commitment to transparency and consumer protection, the ministry emphasised its resolve to enforce effective stock management and maintain coordination with all stakeholders.

During the meeting, the PSMA Chairman Chaudhry Zaka Ashraf raised concerns over the operational challenges faced by millers and stressed that action should not be taken against mills complying with the agreement.

In response, the minister assured that genuine grievances would be addressed promptly and instructed the formation of a Grievance Redressal Committee to streamline the resolution process. To facilitate better communication, the government also announced the creation of a dedicated WhatsApp group to ensure real-time coordination between officials and sugar mill representatives.

The meeting was attended by representatives of PSMA, federal and provincial officials, and other key stakeholders from across the country.

Copyright Business Recorder, 2025