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Food supply

Government Warns Sugar Mills Over Price Manipulation, Threatens Crackdown

Strategic Insights

— 1 min read

Federal Minister for National Food Security and Research, Mr. Rana Tanveer Hussain, convened a high-level meeting to address concerns over sugar pricing and compliance with the government's notified ex-mill rate of Rs. 165 per kilogram. The Minister expressed grave concern over reports that several sugar mills are not complying with the fixed price, contributing to artificial inflation in the sugar market. He issued a stern warning to the Pakistan Sugar Mills Association (PSMA) and directed provincial governments to enhance monitoring and take legal action against violators. The Minister reiterated the government's commitment to protect consumer rights and maintain price stability in essential commodities.

Key Takeaways:

  • The Federal Minister for National Food Security and Research, Mr. Rana Tanveer Hussain, chaired a high-level meeting with representatives of the Pakistan Sugar Mills Association (PSMA), provincial agriculture departments, and key stakeholders to address concerns over sugar pricing and compliance with the government's notified ex-mill rate.
  • The Minister expressed grave concern over reports that several sugar mills are not complying with the fixed price of Rs. 165 per kilogram, contributing to artificial inflation in the sugar market.
  • Mr. Rana Tanveer Hussain issued a strict warning to the PSMA, stating that if the association fails to ensure compliance among its members, the government will initiate a countrywide crackdown against mills involved in hoarding, profiteering, or overpricing.
  • The Minister directed all provincial governments to provide detailed compliance reports within 24 hours and asked them to enhance monitoring at the district level to curb any illegal practices by mill owners.
  • The Ministry will work in close coordination with relevant enforcement bodies, including the Federal Board of Revenue (FBR) and provincial food authorities, to take legal action against violators.
  • Mr. Rana Tanveer Hussain urged all stakeholders to act responsibily and cooperate fully with the government to ensure smooth supply and fair pricing of sugar across the country.

Statistics:

  • Rs. 165 per kilogram: the government's notified ex-mill rate of sugar.
  • 24 hours: the timeframe within which provincial governments were directed to provide detailed compliance reports to the Ministry.
  • Countrywide crackdown: the potential measure the government will take against sugar mills found to be involved in hoarding, profiteering, or overpricing.
  • Federal Board of Revenue (FBR) and provincial food authorities: the enforcement bodies with which the Ministry will coordinate to take legal action against violators.

Sources:

  • Pakistan Business Journal
  • Dawn

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