The Union of Small and Medium Enterprises (UNISAME)  has urged the government to impose upon the sugar mills to release sugar to the SME merchants who are  holding  delivery orders to enable them to supply sugar to the retailers without break.

President UNISAME Zulfikar Thaver said there is sufficient sugar lying in warehouses but the stockist are with holding sales to benefit due to the increase in international price of sugar which has jumped to USD 525 per metric ton and accordingly the landed cost of imported sugar would come to Rupees 55 per kilogram and even raw sugar is priced not less than USD
484 per metric ton in international market.

He said despite a short crop this year and smuggling to Afghanistan there is enough sugar in the country and there is no need for importing sugar which is produced between 4 to 5 million tons every year  from November to April and sold throughout the year.

The union has invited the attention of the government that profiteers have hoarded sugar to make handsome gains due to the increase in international price and have stopped deliveries to the wholesalers and disturbed the entire supply chain and with the holy month of Ramazan fast approaching it is going to cause a lot of hardship to the lower income group who would have to pay the higher prices due to short supplies.

The union pointed out that the Trading Corporation of Pakistan (TCP) should claim sugar purchased by the TCP but lying with the sugar mills who are now trying to avoid delivery and pay penalty as per the default clause in the agreement because the sugar mills expect to make more money by not giving the delivery at the contracted price and prefer to pay the penalty as even then they will make handsome profit