KARACHI, Aug 22: The Trading Corporation of Pakistan (TCP) short-listed eight bids on Monday for a tender to import 50,000 tons of white sugar at between $282.50 and $410 per ton C&F Karachi, an official said. The lowest bidder was a US-based firm, which offered 50,000 tons at $282.50 per ton, while Dubai-based Al Khaleej Sugar Refinery quoted the highest supply price of $410 per ton.

A senior TCP official told Reuters the agency was unlikely to consider the lowest offer because the firm had not submitted a bid bond, a key requirement for participation. Another US firm, which offered 25,000 tons at $324 per ton, was close to the TCP’s specification.

“But we have not yet finalized,” said the official, who asked not to be identified, adding that a decision was expected on Tuesday.

“The decision will be tough this time because most of the bidders have submitted conditional offers.”

Two London-based firms offered 25,000 tons at $359 and $409 per ton, while a Swiss-based firm offered the same amount at $385 and a Southeast Asian firm at $387.30. An Indian firm offered 10,000 tons at $380 per ton.

Bidders offered Indian, Chinese, Egyptian, Thai, South African and Brazilian sugar.

The TCP issued the sugar import tender on Aug 14 and successful bidders will have to complete shipments at Karachi’s Port Qasim within 15 days of opening a letter of credit.

The TCP, which has announced plans to import 200,000 tons of sugar, has already purchased 100,000 tons and 25,000 tons of white sugar from Al Khaleej at $366 and $390 a ton through two tenders issued in the last five weeks.

Pakistan has been buying sugar from international markets since January to cover a production shortfall. Apart from the TCP purchases, private Pakistani traders have finalized deals to import more than 500,000 tons of sugar.

Another TCP tender for 25,000 tons of duty-free refined sugar will be finalized on Aug 24. —Reuters