PSMA demands to stop sale, purchase of sugarcane by unauthorized middlemen

LAHORE: In order to alleviate the shortage of sugarcane in Punjab and to curb the rise in prices, the Pakistan Sugar Mills Association (PSMA) Punjab Zone has requested the Punjab Cane Commissioner to identify and stop the sale and purchase through unauthorized agents and middlemen, Profit learnt here on Wednesday.

However, a letter was also written by the PSMA to the Cane Commissioner on December 15 in this regard, in which it was explained that despite the repeated identification to high officials by the association, middlemen and unauthorized agents were not refraining from buying and selling sugarcane.

“Pakistan Sugar Mills Association has been pointing out time and again unauthorized purchasing of sugarcane from different areas of Punjab by unauthorized purchase agents and middlemen. We have also been requesting the higher authorities in Punjab Government, including you to take action against illegal purchase by unauthorized agents/middlemen”.

“In this context the letters sent to Chief Secretary, Punjab No. PSMA/2021/CS/PZ, dated November 18, 2021 and December 04, 2021, are attached as ready reference. We have also been taking up this issue in various meetings from time to time with Chief Secretary and Secretary Food from time to time. Every time we were promised, but a little attention has been given to this important aspect,” letter stated.

The letter further stated that the Chairman PSMA (Punjab Zone) had recently met the Secretary Food Punjab to resolve this issue and all these efforts were being made by PSMA because Sugar Mills wanted to eliminate unauthorized agents and middlemen.

The PSMA also objected in the letter that despite the efforts of the association, the letter written by the cane commissioner blamed the staff of the sugar mills and stated that the middlemen and unauthorized agents were responsible for all these activities because the buying and selling was done with the connivance of the staff of Sugar Mills.

However, the association clarified that the sugar mills of Punjab did not buy sugarcane from unauthorized purchasing agents and middlemen while the sugarcane purchased through these agents was being taken to other provinces.

“It is essential to point out that Punjab sugar mills in do not purchase sugarcane from the unauthorized purchasing agents/ middlemen. Sugarcane purchased by unauthorized purchasing agents/middlemen is being transported to other provinces and being heavily utilized,” letter added.

The association revealed that all this activity has created a shortage of sugarcane for the mills in Punjab and this has led to increase in sugarcane prices.

“This has created a shortage of sugarcane for Punjab mills, thus giving rise to sugarcane prices. This is what we have been pointing out to the Government, higher authorities and to yourself from time to time but unfortunately no effective measures could be taken at your end to stop this illegal practice. The same is now being attributed to Punjab mills without any evidence or any justification.

In view of the foregoing, we would like to once again request you to please identify unauthorized purchasing agents/ middlemen and take effective measures in order to stop this illegal practice and instead of pressurizing the Punjab sugar mills, save the growers and sugar mills both from suffering colossal losses. We have already indicated that higher prices of sugarcane by any reason result in high price of sugar. We hope to have positive and practical steps from your side,” letter concluded.

Shahab Omer
Shahab Omer
The writer is a member of the staff and can be reached on [email protected]

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