HYDERABAD, July 5: The Sindh Farmers Association (SFA) urged the government on Thursday to defer recovery of sales tax on sugar retrospectively from July 1 to help local industry dispose of surplus stock through export before start of next crushing season.

The SFA President Ghulam Nabi Morai in a statement to press referred to the decision of Indian government deferring the recovery of sales tax on sugar for three years to enable Indian sugar to compete in international market.

Mr Morai said that with stocks of 1.6 million tons in the millers’ stores and 500,000 tons with TCP the country had hugely surplus stock of sugar this year while the next crushing season was round the corner and might start in October 2007.

He said that the situation might improve if the government withdrew the 15 per cent regulatory duty on sugar export to Afghanistan to help the millers dispose of surplus stock. It would also facilitate them to prepare for the ensuing crushing season in time, he added.

He underlined the need for confidence-building between the federal government and the Pakistan Sugar Mills Association through implementation of decisions, agreements and assurances agreed upon from time to time.

He said that indecision and untimely action by the government and dilly-dallying on part of PSMA had always resulted in unnecessary delay in the start of crushing season and losses to growers.

Mr Morai said that the country this year would have a bumper crop of sugarcane, which would take as much time to get processed. Any delay in the start of crushing season beyond October 17, would not be in the national interest, he said and added that the farmers would not tolerate any delay this year as it had happened last year.

Hunger strike: The elected councillors of Qasimabad taluka continued token hunger strike at the Naseem Nagar Chowk for fifth consecutive day, on Thursday. A large number of people from Qasimabad also joined the hunger strike which was led by Taluka Naib Nazim Dr Hyder Shahani.

They were protesting against the alleged step-motherly treatment being meted out to Qasimabad and Hyderabad rural talukas by the district government in development schemes.