Government approves procedure for export of 500,000 metric tons of sugar

The federal government has finalized procedures for the export of 500,000 metric tons of sugar, with the federal cabinet giving its approval for the process, according to sources.

The approved export quota will be distributed among the provinces based on this year’s actual sugar production.

Punjab will receive the largest share, with 64% of the total export quota, while Sindh will be allocated 6%, and Khyber Pakhtunkhwa will receive 30%, sources added. The provincial cane commissioners will oversee the distribution of the sugar export quota, which must be allocated within seven days of the official notification.

The federal government has set a benchmark retail price for sugar exports at Rs 145.15 per kg. Should domestic sugar prices rise, the export process will be immediately halted to stabilize the market. Additionally, the Sugar Advisory Board has been tasked with the regular monitoring of the sugar industry to prevent price spikes, while provincial governments will monitor local sugar prices.

It was clarified that no federal or provincial subsidies will be offered for sugar exports. The State Bank will provide the Economic Coordination Committee (ECC) with updates on the export status every 15 days. According to the federal cabinet’s decision, the export process is to be completed within 90 days.

This latest approval follows a series of export authorizations, with a total of 750,000 metric tons of sugar permitted for export since June 2024.