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  • News Desk
  • Jan 5th, 2018
  • Comments Off on Low sugarcane price: Bosan for taking action against sugar mills
Federal Minister for National Food Security and Research Sikandar Hayat Bosan has asked all provincial governments, especially Sindh government, to take action against low price of sugarcane being enforced by sugarcane mills. He said this while addressing a press conference here on Thursday. "The federal government has nothing to do with the sugarcane prices and issues related to the crop are dealt under the provincial Sugar Factories Control Act, 1950; therefore, provinces are bound to ensure sale of sugarcane at Rs 180 per 40kg fixed by them," he said.

He said that despite criticizing the federal government, the government of Sindh needed to ensure the sale of sugarcane at Rs 180 per 40kg notified by the Agriculture Department of Sindh. "Sugarcane is totally a provincial crop and the provincial government fixes its indicative price," he said. The minister also clarified the issue related to the subsidy announced by the federal government and said the government announced subsidy to support sugar export and not for sugarcane. The accusation of the government of Sindh that the federal government did not provide subsidy on sugarcane is totally baseless and is an attempt to hide its inability.

Bosan said he had also clarified this issue during meetings with various provincial farmers' organizations. "On wheat, the federal government is providing subsidy on 50:50 basis between the center and provinces, while on sugar export, only the federal government is providing subsidy." When he was asked to name the mills which did not pay the fixed price to the sugarcane growers, the minister said that presently he did not have a complete list of mills which did not pay the price of sugarcane fixed by the government. He said the federal government does not have any law to bound mills to purchase sugarcane at the price announced by provincial governments, but he will take up this matter with the chief ministers as well as with the opposition leader. The minister further said the total demand of sugar in the country is 5.3 million tons, while this year the country is likely to produce 7.5 million tons of sugar.

Copyright Business Recorder, 2018


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