Finance Minister Muhammad Aurangzeb assured the nation that sugar reserves are sufficient to meet domestic needs, dismissing concerns about smuggling to Afghanistan. Instead, he clarified that sugar has been legally exported, the 24NewsHD TV channel reported on Tuesday.
Speaking at a joint press conference in Islamabad alongside Law Minister Atta Tarar, the finance minister stated that the FBR has introduced an advanced monitoring system to track sugar mills and transportation. Under this system, authorities have sealed six sugar mills for violations.
He emphasised that, for the first time, no sugar has been smuggled to Afghanistan due to strict border surveillance under Prime Minister Shehbaz Sharif’s directives. This, he said, has allowed controlled and legal exports.
Aurangzeb further stated that Pakistan’s foreign remittances are expected to reach $36 billion this year, while the trade deficit has significantly decreased.
It is noteworthy that on October 17, 2024, the federal cabinet approved the export of 500,000 metric tonnes of sugar, following an earlier approval of 250,000 metric tonnes.
The export was approved under strict conditions, including immediate cancellation of export if sugar prices exceed the set benchmark of Rs 145.15 per kg; sugar mills had to resume production by November 21, 2024; the Sugar Advisory Board was tasked with monitoring sugarcane prices, production, and exports;
Provincial governments were directed to oversee market prices; no government subsidies were to be provided for sugar exports; and the State Bank of Pakistan was required to report to the ECC every 15 days regarding export status.
With these measures in place, the government claims to have stabilised the sugar supply while ensuring fair pricing and legal exports.