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Sindh fails to resolve sugar price dispute

KARACHI: The Sindh government   on Monday   failed to resolve the sugar price dispute between growers and millers as both sides refuse...

Sindh fails to resolve sugar price dispute

KARACHI: The Sindh government on Monday failed to resolve the sugar price dispute between growers and millers as both sides refused to show flexibility.

At a meeting held in the Sindh Secretariat under the chairmanship of Minister for Agriculture, Ali Nawaz Mehar, the mills owners said that they would not start crushing unless sugarcane price is fixed at Rs150 per 40kg which matches the current sugar price at Rs49 per kg.

They further stated that if government wants them to start production, it should subsidise the current sugar price by Rs16 per kg.

The minimum cane purchase price has been fixed by the government at Rs182 per 40kgs.
Nabi Bukhsh of the Sindh Chamber of Agriculture told the meeting that growers would not accept any reduction in the cane price fixed by the government.

He estimated the per acre cost of production at Rs112,000 while the income comes to Rs106,000 per acre.
The minister asked the mills owners to start crushing while the government would work out price of sugar that really matches the cane price.

The Sindh High Court had also directed the mill owners to start crushing while it gave two days to the Sindh government to fix the price of sugar.

Earlier the federal secretary of industries in Islamabad refused to mediate in the price dispute between mills owners and growers, saying that under the 18th Amendment the matter belonged to the provincial government. The meeting between growers and mills was held in Islamabad under the directive of the Sindh High Court.
While the cane dispute price lingers on, Matiari and Sangarh mills have come into production, but it is not clear at what price they are purchasing cane from growers.

The Sindh government has contested the wheat target for the current Rabi season fixed by the Federal Agricultural Committee (FAC) and described it too ambitious.

The wheat sowing target fixed by the FCA for the province is 11.5m hectares against normal sowing area of 11m hectares in the season.

Similarly, Sindh has been given a wheat production target of 4.2m tonnes. The province produced 4m tonnes of wheat during 2013-14 from a sowing area of 1.12m hectares.

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