The Spokesperson of Ministry of National Food Security & Research has clarified a news item carried out by a section of media alluding that the sugar mills have stopped buying sugarcane from the farmers. The spokesman clarified that after 18th amendment the power to that effect were devolved and transferred to provinces.
Moreover, In line with the Section 16 of Sugar Factories Control Act, 1950, Provincial Governments are authorized to fix and announce the Indicative Price of sugarcane crop. Like-wise section 8 of the Act empower the Provincial Government that the occupier of a sugar mill shall send a notice to the Cane Commissioner in the prescribed form intimating him of his intention to start crushing one clear month before the crushing starts, but the crushing should be started not later than 30th November each year.
On the requests of Provincial Governments, MNFS&R shares its working on the cost of production of sugarcane crop, estimated by the Agriculture Policy Institute (API). Furthermore, various issues pertaining to sugar related commodities are being discussed at the forum of Sugar Advisory Board, established under the Ministry of Industries and Production.
23rd Meeting of Provincial Cabinet of Punjab was held on Tuesday, the 7th January, 2020 at Lahore, under the Chairmanship of Mr. Muhammad Usman Bozdar, Chief Minister for Punjab. In the meeting the Secretary, Food Department, Punjab informed that, so far; around 8.4 million tons of sugarcane has been crushed and farmers of the province have paid Rs. 22 billion. Last year approx. 99% payment was made on account of the sugarcane purchase by the sugar mills of the province.
Decisions pertaining to sugarcane crop were as follows:
1. All sugar mills of the province should resume their crushing operations immediately by 10th January, 2020 without further delay;
2. Fair return to sugarcane growers should be ensured by the provincial government;
3. Punjab Food Department would strictly monitor the crushing operations of the province;
4. A Committee will be constituted to monitor crushing operations in the province in future.
The issue related to Sugar Mills is under the ambit of Provincial Governments and in this case, Government of Punjab, under Sugar Factories Control Act, 1950 is mandated to deal with the instant crisis.
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