PSMA refuses to supply sugar to Utility Stores Corporation at Rs63 per kg.
ISLAMABAD -- Pakistan Sugar Mills Association (PSMA) has refused to supply sugar to Utility Stores Corporation (USC) at the reduced rate of Rs63, as was recommended by the government, saying that the recommendation "has no legal standing".
In a letter written in response to the USC on Sunday, the PSMA said it agrees to supply sugar at Rs70 per kg under the interim court order.
"We are ready to give sugar at a rate of Rs70 per kg to non-commercial establishments for domestic use," the association said, adding that about 60,000 tonnes of sugar will be delivered to markets.
It said that until under the court order, the federal government can make arrangements to procure the sugar at that rate.
"Until the arrangements are finalised regarding the sugar price, the sugar mills will supply sugar at Rs70 per kg for commercial use," the association wrote in the letter.
Sugar mills association goes on to claim that the demand from the Ministry of Industries and Production and Utility Stores Corporation hold no lawful basis and hence they were not bound to abide by it.
The association directed the federal government to cease and desist from asking to lower the prices of sugar further and prepare a mechanism to buy it from mill owners at Rs70 per kg.
It is worth mentioning here that the Utility Stores Corporation (USC) on Saturday had written a letter to the PSMA to provide it sugar at the rate of 63 rupees per kg so that it could give relief to the masses by selling the commodity at 70 rupees per kilogram.
According to a letter written by Managing Director Utility Stores...
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