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Sugar millers will pay dues to growers: Governor

LAHORE-Punjab Governor, Lt. Gen. (Retd) Khalid Maqbool has stressed upon sugar mills owners to ensure timely payment of sugarcane price to the cultivators in order
to safeguard the interest of the farming community.

He was talking to a five-member delegation of Pakistan Sugar Mills Association, led by its Chairman Ch. Zaka Ashraf, which called on him at the Governor's House here Thursday. Provincial Ministers Khurshid Zaman Qureshi, Tariq Hameed and Secretary Food Punjab Junaid Iqbal were also present.

The Governor said in order to ensure timely price, the sugar mills owners will make payment to the cultivators in cash or through cheque. In case of payment through cheque, no mark up will be charged within the first 30 days. However during the period exceedings 30 days and up-to 60 days, 12 % annul markup will be charged.

He said the sugar mills will purchase sugarcane from the growers at the mill gate and at authorized weighing stations (Kandas). He said unauthorized weighing stations (Kandas) which normally indulge in short-weighing and pay less price to sugarcane growers, will not be allowed to function.

The Governor directed the concerned District Nazims and DCOs to sternly check the functioning of unauthorized weighing stations in their respective areas. The offenders in this regard would be arrested and strict legal action be initiated against them, he added.

The meeting decided that 14 sugar mills which owe outstanding dues of Rs. 7.58 crore to cultivators, will make payment to them within 15 days. Besides, sugar mills will hold meeting of advisory committees once in a fortnight regularly to resolve the problems of sugarcane growers on the spot.

The governor said the government will provide all possible facilities to the sugar millers for obtaining advances from the commercial banks.

He further directed that special attention should be paid to ethanol production and power generation with the help of by- products of sugar to enhance the commercial profitability of the industry. The Sugar mill owners should carryout their responsibilities towards promoting high quality sugarcane varieties for optimal production.

He observed that production cost of sugarcane can only be reduced if its per acre yield is increased.

The delegation included PSMA members Haroon Akhtar Khan, Muhammad Anwar Wahla, Ch. Muhammad Aslam and Secretary Col. (Retd) Maqsood Ahmed Cheema.


 December 8, 2001

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