SAB for imposing ban on setting up new sugar mills
By Khalid Amin

ISLAMABAD—The Sugar Advisory Board (SAB) here on Thursday said that it would suggest the government to impose ban on setting up of new sugar mills in the country to overcome the problems related to the sector.
The SAB will also seek report from Ministry of Food, Agriculture and Livestock about linking of payment with sucrose content; downward revision of sales tax and will also recommend to the Secretaries’ committee that price of sugar is fixed at Rs. 29.5 per kg after Pakistan Sugar Mills Association (PSMA) having made all outstanding payments to the growers.
The decisions were taken during the first meeting of the Sugar Advisory Board (SAB) which was held under the chairmanship of Secretary Industries, Production and Special Initiatives, Shahab Khawaja.
Meeting was also attended by senior officials of the Ministry of Food and Agriculture, Ministry of Commerce, Trading Corporation of Pakistan, Planning Commission, Provincial food and agriculture departments, Cane Commissioners, representatives of Pakistan Sugar Mills Association, Kisan Board Pakistan and Farmers Association of Pakistan.
The meeting was convened to have an overview of the sugar sector and discuss issues such as surplus, deficit, strategic reserves and future plan of work to keep the prices of the commodity stable and to ensure adequate supply of the commodity in the domestic market as well as look into the issues and problems of sugarcane growers and sugar industry.
Talking about the mandate of the SAB, Secretary Industries told that the board was set up to focus on research and development of the sugar sector; study farmers’ investment in sugar production; formulate prices acceptable to both growers and millers; address problems faced by farmers in marketing sugar; study uses of cess; promote sugar beet as a substitute of sugar and all other issues related to sugar sector.
Meeting expressed satisfaction that sugar production estimate for 2008 is 4.36 million ton against an annual consumption estimate of 4.20 million tons.