HYDERABAD: The government should allow the exports of 1.8 million tonnes surplus sugar with a subsidy of Rs12-15 per kg, Sindh Abadgar Board (SAB) said on Thursday.

In a letter addressed to Prime Minister Nawaz Sharif, SAB President Abdul Majeed Nizamani said Sindh, Punjab and KP produced around 7.047 million tonnes sugar in 2016-17. With carryover stock of 0.950m tonnes, total sugar holding is 7.997m tonnes.

After exports and consumption, the remaining stocks stand at around 2.427m tonnes. Retaining strategic reserves of another 0.630m tonnes, the country is left with surplus sugar stocks of 1.8m tonnes, the letter read.

The SAB president said if export of at least 1.2m tonnes is not allowed, the sugar industry and sugarcane growers would face difficulties.

The sugar industry has unofficially announced to begin the next crushing season in Feb 2018 rather than in Nov-Dec 2017, which means a delay of at least five months. It would damage the standing crop of sugarcane and affect wheat and cotton cultivation.

There is expectation of bumper sugarcane crop in 2017-18 and sugar production next year is projected to be around 7.7m tonnes.

He requested the prime minister to direct the government to allow and facilitate exports of the surplus sugar stock.

As per figures of the Sindh Cane Commissioner’s Office, the province has crushed 21.99m tonnes of sugarcane crop this year against 17.82m tonnes a year ago. However, sucrose recovery in Sindh this season dropped to 9.8538 per cent although it was 10.5 pc in on of 2015-16.

Sindh Agriculture Department has yet to firm up figures of sugarcane production for 2016-17 season.

Published in Dawn, June 16th, 2017