Pakistan need enhance sugar export quota to facilitate mills to pay farmers outstanding dues.

The decision was taken to allow the export under certain conditions to avoid the escalation of prices of sugar in the domestic market. The export of 0.3 million tonnes of sugar in addition to the quantities already allowed for export by the ECC. The Pakistan Sugar Mills Association (PSMA), in May 2017 had informed the government that the sugar industry had produced record quantity of sugar leading to a surplus of 1.475 million metric tonnes which was resulting in the delayed payment to the sugarcane growers. The mill owners are unable to pay the due amount because of the financial crunch faced by the industry and its poor liquidity position. There is a strong need to overview the sugar stock situation and accordingly enhance the export quota. This facilitate the mills to pay farmers outstanding dues and commence the 2017-18 crushing season on time.