Lahore: Renewed effort of the Pakistan sugar industry to export around one million tons of “surplus” sugar has sparked debate over balancing industry interests with national food security, The News Pakistan reported.
The Pakistan Sugar Mills Association (PASMA) reported total sugar production of 7.21 million tons for the current season, with Punjab contributing 4.83 million tons, Sindh 1.93 million tons, and KP 452,315 tons. PASMA Chairman Ch Zaka Ashraf expects production to reach 7.5 million tons by season’s end, creating a claimed surplus of one million tons. He urged the government to either allow exports or buy the excess, citing losses from last year’s import misstep, which cost Rs6 billion.
Ashraf also called for deregulation, allowing the sector to operate purely on economic principles. However, market analysts and consumer groups have raised concerns about the actual stock situation. As of mid-March, physical stocks stand at 5 million tons, below the 5.33 million tons needed to cover domestic consumption, strategic reserves, and supply chain requirements until the next harvest in November. This suggests a projected deficit of over 300,000 tons, challenging the industry’s claims of a surplus.
Critics warn that a repeat of last year’s “export trauma”—when large-scale exports led to domestic shortages and soaring retail prices—could harm consumers and force costly sugar imports. Analysts argue that the industry appears to prioritize short-term export profits over domestic needs, risking another market crisis.
The federal government faces a difficult choice between supporting industry liquidity and safeguarding domestic consumers. With stocks already insufficient to meet consumption and reserve requirements, any move to export could deplete the country’s sugar supply months before the next harvest.
Meanwhile, traders predict that next season’s cane crop may keep prices between Rs300–350 per maund, prompting calls for government intervention, either through strategic reserve purchases or controlled exports.
Officials, including the federal minister for national food security and Punjab’s commodity management adviser, declined to comment on the proposed export push.
