KARACHI: Following the directives of the Economic Coordination Committee (ECC) of the Cabinet, Trading Corporation of Pakistan (TCP) has completed procurement of some 200,000 tons of sugar from domestic mills.

TCP's sugar procurement tender, issued on May 21 for the procurement of 200,000 tons, was opened on June 7, 2012 and as many as 47 bids were received from local sugar mills.

Out of total bids, M/s Sheikhoo Sugar Mills quoted lowest responsive price of Rs50,510 per ton for supply of 10,000 tons sugar and accordingly being the lowest, the offer was accepted by TCP and contract for procurement of 10,000 ton from Sheikhoo Sugar Mill was finalized.

At the same time, to complete the purchase of total targeted quantity of 200,000 tons sugar from domestic mills, TCP offered the rest of 46 bidders, who quoted higher rates in the tender, for price matching of lowest bid price by June 12, 2012.

In response of TCP's price matching offer out of 46 some 42 bidders sent their confirmation for price matching of lowest bid.

Some 42 bidders consented to match with the lowest price of Rs50,510 per ton for a total quantity of 321,000 tons against a balanced required quantity of 190,000 MT.

Therefore, the purchase contracts were awarded, on pro rata basis, to all the 42 sugar mills who agreed to match the lowest price to complete the target of 200,000 tons of sugar procurement.