Lahore: The sugar mills of Pakistan have innumerable times reminded Punjab government to take strict action against the middle-men of sugarcane but to no avail, which is ultimately giving rise to the price of sugarcane.
At present, the price of sugarcane has crossed Rs. 300 per 40 kilogramme.
In a statement, a spokesman of Pakistan Sugar Mills Association said that they are regularly keeping the Punjab government abreast of the rise in sugar prices due to the middle-men. This illegal practice of middle-men is increasing the cost of production of sugar because there is 80 percent involvement of sugarcane price in the overall cost.
He added that the provincial government is not taking effective action against the middle-men. In Bhakkar only, successful action has been taken against these middle-men which is bringing fruitful results but in other districts, action is only limited to papers. This lapse is encouraging the middle-men to continue their activities scot-free. These middle-men purchase sugarcane from the farmers on low rates and sell them to sugar mills on higher prices. This practice is giving loss to public, farmers and sugar mills while the only beneficiary turns out to be the middle-men. Same issue was also highlighted by a representative of the farmers during a meeting of the Sugar Advisory Board in Islamabad. Following that meeting, the Secretary Industries gave stern directions to the provincial governments to eradicate these middle-men but still they are continuing their illegal practice with impunity.
The spokesman went on to say that the sugar mills are not getting sufficient amount of sugarcane which is hampering the crushing operations. If these middle-men are not controlled then the price of sugar will become uncontrollable due to increased cost of production.
The sugar mills demand the government take strict action against middle-men so that a stable price of sugar can be maintained.