ISLAMABAD – Authorities in Punjab takes action amid growing concerns over market manipulation in sugar sector, which repeatedly drawn scrutiny for alleged collusion and price-fixing practic
Competition Commission uncovered cartel among sugar mills in Punjab, issuing show-cause notices to ten mills for colluding to fix sugarcane prices and delay crushing.
Initial probe revealed that these mills collectively decided to postpone sugarcane crushing and set the cane price at Rs400 per maund, disregarding farmers’ interests.
The cartel reportedly held a secret meeting at Fatima Sugar Mills, chaired by Rana Jameel Ahmed Shahid, the mill’s Resident Director. During the meeting, the mills agreed that crushing would start from November 28. Several representatives from other sugar mills also participated online.
Officials stressed that such collusion and price-fixing violate the Competition Act. Officias asked the implicated mills to provide a written response within 14 days.
Delays in crushing sugarcane could lead to artificial sugar shortages and further hikes in sugar prices, affecting consumers nationwide.
The sugar mills issued show-cause notices include: Fatima Sugar Mills, Sheikho Sugar Mills, Thal Industries Corporation, Tandlianwala Sugar Mills (Rehman Hajara Unit), JK One Sugar Mills, Ashraf Sugar Mills, Kashmir Sugar Mills, Siraj Sugar Mills, Two Star Sugar Mills, and Haq Bahoo Sugar Mills.
