ECC allows additional export of 0.500 Million MT of surplus sugar

ISLAMABAD: Federal Finance and Revenue Minister Senator Muhammad Aurangzeb presided over the meeting of the Economic Coordination Committee (ECC) of the Cabinet.

Attendees included the Minister for Industries and Production, Rana Tanveer Hussain; the Minister for Power, Sardar Awais Ahmed Khan Leghari; the Minister for Economic Affairs, Mr. Ahad Khan Cheema; the Minister of State for Finance and Revenue, Mr. Ali Pervaiz Malik; the Governor of the State Bank of Pakistan (SBP); the Chairman of the Securities and Exchange Commission of Pakistan (SECP); along with Federal Secretaries and senior officials from relevant Ministries and Divisions.Are all ultra-processed foods equally bad for health?

The ECC reviewed a summary presented by the Ministry of Industries and Production requesting authorization for an additional export of 500,000 metric tonnes of sugar, citing sufficient surplus stocks even after accounting for planned and ongoing exports, the requirements for the remaining two months of the current crushing year, and the maintenance of strategic reserves.

The meeting was informed that, according to data from the Provinces and the Federal Board of Revenue (FBR), the current stock of sugar was 2.054 million metric tonnes as of September 30, 2024, while total consumption over the past ten months of the current crushing year (2023-24) was 5.456 million metric tonnes. It was noted that the expected offtake for the next two months was around 0.900 million metric tonnes, based on the FBR-reported offtake for September of 0.450 million metric tonnes. Thus, after considering the 0.140 million metric tonnes set for export under previous ECC decisions, the expected remaining stocks would be 1.014 million metric tonnes by November 30, 2024. After designating one month’s offtake (0.450 million metric tonnes) as a strategic reserve, a surplus of 0.564 million metric tonnes would still be available.

The ECC thoroughly discussed the proposal and, in light of recommendations from relevant stakeholders and Ministries, approved the plan for an additional export of 0.500 million metric tonnes of surplus sugar under the same terms and conditions established by the ECC in its decision on September 20, 2024, with the following modifications:

• This approval is contingent upon the provision of a commitment from the Pakistan Sugar Mills Association (PSMA) that their mills will begin production by November 21, 2024, for the next crop year, and that any non-compliant mill will have its export quota revoked.
• Exporters must ensure that shipments are made within ninety (90) days of quota allocation by the respective Cane Commissioners.
• This permission may be rescinded by the SAB at any time to ensure stability in the domestic market and to maintain retail prices.

The ECC also instructed that the Cabinet Committee on Monitoring Sugar Exports, already formed via Cabinet Division Notifications dated June 25 & 26, 2024, and September 13, 2024, will continue to regularly monitor and report to the Cabinet on the demand, supply, and pricing situation of sugar in the country, including the case of the 0.500 million metric tonnes export.

Additionally, the ECC discussed and approved a summary from the Ministry of Energy (Power Division) regarding a compensation package for the deceased Chinese workers of Port Qasim Electric Power Company (Private) Limited.