ISLAMABAD: The Ministry of Commerce reportedly decided to oppose the export of sugar because such a decision would inflate prices in the domestic market, informed sources in the ministry said. company registrar.
On May 25, 2022, India imposed a sugar export ban from June 1, 2022 despite a bumper harvest.
This is the first time in the history of Pakistan that sugar production is documented through the implementation of the track and trace system introduced by the Federal Board of Revenue and the total production is estimated at 8.1 million metric tons.
Now, sugar sales are also documented in the same system. Every bag from the candy to the market is traceable and documented. Thus, the production and sale of off-the-books sugar is now almost out of the question.
The sugar consumption pattern will emerge after the whole year of market absorption, which will be over by the end of October when a new grinding season begins.
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The Ministry of National Food Security and Research (MNFS&R) estimated national sugar consumption at 6.8 million metric tons based on documented sugar production available in the past, but did not include the sugar produced in the past.
The sources said that the government will hold the sugar export decision until the next milling season because due to the actual consumption pattern of the track and trace system and the demand will come after this season, adding that surplus sugar could be exported before the start of the new crushing season or during the crushing season, as actual demand, supply and upcoming production estimates will be available.
Copyright Business Recorder, 2022