The government has requested the sugar industry to supply sugar at fixed rates. In exchange, the government supports the industry by fixing the price of sugarcane to incentivize higher cultivation by farmers and blocking imports of higher quality but cheaper sugar from abroad. Nevertheless, the sugar mills have failed to honour their commitment and instead have again increased sugar prices without warning.
Therefore I think the government should reduce all support for the sugar industry by immediately allowing duty free import of sugar and removing the sugarcane price-floor. These measures will immediately reduce sugar prices and ensure these prices stay low in the long run, while also pushing the sugar industry to become more competitive.
Engr Shahryar Khan Baseer
Peshawar
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