Deregulation Drive Targets Sugar Cartels

Commerce ministry wins backing for deregulation drive; panel demands transparency and stronger oversight from competition watchdog.

ISLAMABAD: In a bold crackdown on sugar sector shenanigans, a National Assembly standing committee has thrown its weight behind full deregulation, aiming to root out market manipulation and curb speculative excesses that have long plagued the industry.

The committee, chaired by Jawed Hanif Khan, rolled out recommendations from a sub-panel—featuring Dr Mirza Ikhtiar Baig, Ms Tahira Aurangzeb, Farhan Chishti, and Gul Asghar Khan—to shake up the status quo. Topping the list: reconstituting the Sugar Advisory Board by kicking out private sector reps, ensuring decisions steer clear of vested interests.

Wrapping up Monday’s session, the panel adopted the commerce ministry’s report, zeroing in on past blunders. It called for a deep dive to pinpoint culprits who greenlit sugar exports that hammered national stockpiles and jacked up domestic prices. “We can’t let these slip-ups slide,” Khan hammered home, demanding accountability to prevent repeats.

He also hauled the Competition Commission of Pakistan (CCP) into the hot seat, tasking it with explaining why it failed to clamp down on rampant cartelisation. “Fix this, or face the music,” the directive implied.

Shifting gears to broader trade fronts, the committee checked in on export diversification and regulatory tweaks. Good news: EU rice interceptions have nosedived, while seafood shipments surged to $466 million in FY25. The ministry dished out updates on its Agro-Products Export Enhancement Roadmap, the rollout of Sectoral Councils, and ramps-up for pharma, leather, and marble exports.

But hurdles linger. The panel ordered a full rundown next meeting on tackling US non-tariff barriers that box in Pakistani goods.

In a side skirmish, the committee grilled officials over Pakistan Reinsurance Company Ltd (PRCL), seeking ironclad proof for hiking the ex-CEO’s salary from Rs500,000 to Rs2.4 million monthly—complete with perks. “Justify this windfall, or we’ll pull the plug on such free rides,” sources quoted.

This overhaul could breathe new life into the sugar sector, fostering fair play and boosting competitiveness. As winter bites, stakeholders eye whether these moves will deliver sweeter outcomes for farmers and consumers alike.