Pakistan sugar exports touch new high, fetch $474 million for national exchequer

Sugar exports from Pakistan touched a new high of 1.359 million tons, which enabled the country to earn $474 million during the first eleven months (July-May) of the financial year 2017-18.

Last year, the exports of sugar had been recorded at 302,268 tons which fetched the country $158 million in the corresponding period of the last FY17, reported Dawn.

In last eleven months of FY18, the average per ton price fell to $348 against $524 per ton average price fetched in the corresponding period of last financial year.

The commodity was exported to Myanmar, Nepal, Middle East and African countries.

And a sugar miller revealed that 1.5 million tons of sugar had been exported during the outgoing FY18.

He said Pakistan attained its highest ever production of the commodity of 7.5 million tons last season compared to the requirement of 5-6 million tons, leaving surplus stocks of 1.5m tons.

He revealed the Pakistan Sugar Mills Association (PSMA) had not requested any subsidy and required go-ahead for the export of surplus sugar so farmers could be paid, which was refused by the government.

During that period, sugar price in the global market was $550 per ton and as rates decreased to $350 per ton, the government then permitted sugar export with a subsidy of Rs20 per kg, with Rs10.7 per kg federal share and Rs9.30 per kg from Sindh government.

Also, the country’s sugar production recorded a decline of 7 percent during July-April of FY18, touching 6.464 million tons against 6.969 million tons in the same period of FY17.

FY18 proved to be another record season for sugarcane production as it rose 7.4 percent, touching 81.102 million tons compared to last year’s production of 75.482m tons.

The sugarcane crop was grown on an area of 1,313 thousand hectares against previous year’s area of 1,218 thousand hectares, notching a rise of 7.8 percent.