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ANNOUNCEMENT 24 Dec 2014
In December 2014, the government of Pakistan announced an altered export quota, a change in import duties on sugar and potato and extended a subsidy on sugar exports.
NUMBER OF INTERVENTIONS
5
SOURCE
Official notification
http://www.sbp.org.pk/epd/2015/FECL1-Annex.pdf
SRO 08(I)/2015 - sugar regulatory duty
http://download1.fbr.gov.pk/SROs/20151915110439772015sro08.pdf
Office Memorandum - Ministry of Commerce - 15 April 2015
http://www.sbp.org.pk/epd/2015/FECL9-Annex.pdf
On 24 December 2014, Pakistan's Economic Coordination Committee increased the sugar export quota from 500,000 tonnes, announced in November 2014, to 650,000 metric tonnes. Also, the validity of the quota has been extended from 31 March 2015 to 31 May 2015.
The exports would be allowed only against an irrevocable letter of credit or contract with 15% non-refundable advance payment. The shipment would have to be made within 45 days of the registration of contract with the State Bank of Pakistan.
On 9 April 2015, the ECC extended the validity of the quota until 15 July 2015, or 45 days from approval, whichever comes earlier.
An export quota of 500,000 tonnes was later announced on 14 December 2015 (see related State Act).
The Economic Coordination Committee also approved an inland freight subsidy of Rs. 2 per kg. (~USD 0.02) and a cash subsidy of Rs. 8 per kg. (~USD 0.08) for the sugar exports.
The total subsidy is estimated to cost Rs. 6.5 billion (~USD 64.6 million)
* PKR to USD conversion as on 24 December 2014 - 1 USD/100.6 PKR
The Economic Coordination Committee (ECC) of Pakistan lifted a regulatory duty of 25% valid on potato imports.
The Economic Coordination Committee extended a 20% regulatory duty imposed on the imports of jaggery and white crystalline sugar to the imports of raw and beet sugar as well. The duty was imposed on 12 November 2014 and was later increased to 40% on 17 June 2015.