ISLAMABAD - Pakistan Sugar Mills Association (Punjab Zone) has stated that international prices of sugar are currently standing around USD 750 and this most feasible opportunity is awaiting a timely decision by Pakistan to export sugar and earn nearly USD 400 million in foreign exchange to bolster its reserves.
Previously in March 2022 on achieving a historic bumper sugar cane crop and sugar production of 8MMT, with a surplus of almost 2MMT, sugar industry kept requesting the government for export of surplus sugar which could have earned nearly USD one billion. Again at that time international prices of sugar were quite high but due to inordinate delay on pretext of verification of stocks in presence of stocks authentication by a latest Track and Trace System of FBR and certification of PSMA that window of getting high sugar prices was lost. Sugar exports were allowed in January 2023 which could only fetch around USD 450 per MT.
PSMA-PZ reiterates that international sugar market has always remained volatile. Timely decision by government to allow export of surplus sugar at current high international prices would bring much needed foreign exchange for the country and would support the agricultural economy. Sugarcane farmers would start getting international prices like of rice, cotton and maize. It will encourage cane growers to invest more in their fields and increase yield. If surplus sugar is regularly exported and not negatively stigmatized it can easily go upto USD two billion without affecting other crops or compromising our local needs and Industry will continue to provide USD five billion worth of import substitution by producing sugar for domestic consumption.
