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PSMA Warns Government’s Sugar Import Decision Threatens Farmers and Industry Stability

Islamabad: The Pakistan Sugar Mills Association (PSMA) has strongly criticized the government's decision to import 0.3 million metric tons (MMT) of sugar, warning that the move, despite sufficient domestic stocks, will harm both farmers and the sugar industry.

In a statement, a PSMA spokesperson said the industry had consistently cautioned against unnecessary sugar imports, emphasizing that the country already possesses abundant sugar reserves as of November 18, 2025. He noted that the disposal of existing stocks is critical to alleviating the financial crisis facing the sector.

The spokesperson highlighted that floodwaters remain stagnant in many agricultural areas, preventing sugarcane harvesting. 'The government must evaluate the severity of the situation before taking such steps,' he urged.

He further criticized the decision to import sugar on a tax- and duty-free basis, along with additional subsidies, saying it would create severe market distortions.

'The government often closes the FBR portal of mills to facilitate the sale of imported sugar,' he alleged, calling upon authorities to make conclusive, farmer-friendly decisions that ensure the survival and sustainability of the domestic sugar industry.