Mills fear 30pc fall in crop
KARACHI, Oct 17: The Pakistan Sugar Mills Association (PSMA) expects a short crop of sugarcane by around 20 to 30 per cent during in coming season 2008-09 compared to last year.
With the shortage of irrigation water and high prices of fertiliser, growers were unable to bring more land under cane cultivation. However, cane crop is yet to mature as weight of cane and sucrose contents are still low. Looking at the crop, the crushing season in Sindh would not start before the third week of November. This could be delayed further because during the first week of December, Eid-ul-Azha will be observed when most of the transport will be engaged in the haulage of sacrificial animals, the PSMA indicated.
The millers body further stated that due to short crop there would be a need to import raw sugar which could be converted into white refined sugar by mills and would help cut import bill substantially.
The PSMA asked the government to allow import of raw sugar when the crushing season is on because this would save extra cost of energy needed for conversion.
It apprehended that any delay in decision making would not only push up sugar prices in the domestic market but also increase the cost of conversion of raw sugar to refined sugar, the PSMA maintained.