May 9, 2003	Friday	Rabi-ul-Awwal 6, 1424

KARACHI, May 8: Sugar production during the current crushing season is expected to reach near 3.7 million tons as boilers of some of the mills in the Punjab are still running.

According to the latest figures released by Pakistan Sugar Mills Association (PSMA), sugar production has already surpassed the previous record of 3.3 million tons—it touched 3.662 million tons by April 30 and is expected to hit 3.7 million tons after all the mills declare seasonal closure.

How to dispose of the exportable surplus at competitive rate is the key issue being debated now both in the government and the private sector circles and a broad outline of export package will have to be evolved if the interest of the growers and of the sugar industry is to be safeguarded.

With monthly sugar consumption of around 280,000 tons, the country is expected to have a surplus of around 300,000 tons from current season’s production of around 3.7 million tons. On adding 600,000 tons of last year’s carryover stocks the total surplus would come to 900,000 tons plus at the start of the next season.

“If the government does not act and take timely decision with regard to the expected surplus the ultimate sufferers will be the growers,” a miller who was reluctant to be quoted told Dawn on Thursday. The real impact of this development, he further said, would be seen in next year’s (2003-04) season when the cultivation cycle will change.

After selling around 1.401 millions tons in the open market the sugar mills, upto April 30, were holding huge stocks of around 2.261 million tons.

It is highly encouraging that the three sugarcane cultivating provinces—Sindh, Punjab and NWFP recorded higher production of white refined sugar this season. In Sindh, production rose to 1.153 million tons compared to 947,655 tons recorded in the corresponding period last year.

In Punjab the production was substantially higher by 202,077 tons at 2.362 million tons as against 2.160 million tons achieved in the same time last year. The NWFP also recorded higher production at 144,905 tons compared to 105,481 tons in the corresponding period last year.