ISLAMABAD, Feb 4: The government on Saturday allowed the import of 50,000 tons of sugar from India through Wagah border but at the same time increased the commodity’s retail price to Rs27/kg at the Utility Store Corporation outlets.
Sources said that a formal decision was taken by the prime minister in a direction to the commerce ministry to contain the constant increase in the sugar price which had already touched the highest-ever level of Rs38-39 per kg in the retail market.
It was the first time that the government had allowed sugar import from India via trucks, where loaders would unload sugar from trucks on either side.
The sources said that prime minister had approved the recommendation of a meeting to double the USC quota from the current level of 11,000 tons to 22,000 tons per month immediately.
The source said that the Trading Corporation of Pakistan would sell sugar at Rs25 per kg to the USC while the USC would sell the commodity at Rs27 per kg at their outlets across the country.
Currently, the USC is selling sugar at Rs23 per kg. The huge price gap had resulted in shortages at USC outlets, where long queues were seen when sugar was available. But most of the time, profiteers and shopkeepers took benefit of such sale.
The sources said that the TCP would issue a tender within the next couple of days. They said that the TCP would import sugar only from pre-qualified parties. TCP had already issued tenders in this connection in the last week of January and the last date was set as Feb 6. The question remained, if any Indian company had applied for the pre-qualification tender. If not, then the whole exercise would be futile.
The ex-Dubai price of sugar was around $420-425 per tons. There was a possibility that Indian exporters could charge the same price from Pakistani importers against the prevailing price of $380-385 per ton in the Indian market.
