Lahore -

Chairman Pakistan Sugar Mills Association Punjab Riaz Qadeer Butt has expressed his concern on levy of 17% GST on sugar. He said it will have serious repercussions. He said sugar industry of Pakistan is confronting glut-like situation as a result of which mills are suffering heavy losses. He said at the prices prevailing in local and international markets the sugar mills are not recovering the cost of production of sugar.

Chairman PSMA Punjab Zone said in the circumstances the increase in GST cannot be passed on to the consumers, consequently financial viability of the sugar industry would be eroded as a result of which outstanding payments of sugarcane growers are bound to be grossly jeopardized which will be detrimental to the poor farmers. Chairman Riaz Qadeer Butt appealed to the government that current rate of taxation on sugar should not be changed at this stage. However, he assured complete support to the government in waiting and volunteer to adjustment in rate of GST at the time of start of new crushing season.