KARACHI, Sept 12: The sugar mills still hold a stock of more than one million tons of sugar as on August 31, 2003, industry sources said here on Friday.

According to the compiled data released by Pakistan Sugar Mills Association (PSMA), sugar lifting was estimated at 2.673 million tons, leaving a stock of 1.012 million tons.

A sugar mill owner said that total sugar production has reached 3.686 million tons this year and a backlog of 500,000 tons from last year swelled it to 4.27 million tons.

Commenting on the news that TCP will buy 100,000 tons more sugar from the mills to maintain a buffer stock, he said the industry still has a surplus stock despite this purchase.

He said the government should buy at least 400,000 tons of sugar to ease the situation in the sugar industry which is facing a severe financial crisis.

He said Sindh zone of Pakistan Sugar Mills Association had already decided not to start crushing this year due to heavy financial losses.—APP