A sugar export quota of 500,000 tonnes was announced with incidental and freight support for such exports.



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Office Memorandum of the Ministry of Commerce - 14 December 2015

EPD Circular Letter No. 20 of 2015 - State Bank of Pakistan

Office Memorandum of the Ministry of Commerce - 19 January 2016

Inception date: 07 Dec 2015 | Removal date: 31 Mar 2016

Export quota

 On 7 December 2015, Pakistan's Economic Coordination Committee approved an export quota of 500,000 metric tons of sugar. The exports are allowed in a phased manner, 200,000 tonnes until 31 December 2015, an additional 150,000 tonnes until 31 January 2016, and the remaining until 31 March 2016. 

The conditions state that only mills that have cleared past dues of the farmers and have started sugarcane crushing on a full scale will be permitted to export. Further, the quota will be allotted on a first come first served basis and will require for approval a minimum 15% advance payment or an irrevocable letter of credit from the buyer.

All un-utilized quota from the quantity allowed earlier will stand canceled.

An export quota of 650,000 tonnes was last announced in December 2014 and was valid until 15 July 2015.

A quota of 225,000 tonnes was later announced in December 2016.




Inception date: 07 Dec 2015 | Removal date: 31 Mar 2016

Export subsidy

The Economic Coordination Committee also approved a subsidy of Rs. 13 per kg. (~USD 0.124) for the export of the announced quota of 500,000 tonnes. The subsidy is provided as support against incidental and freight and will be shared between the Federal and Provincial governments.

In the export quota of 650,000 tonnes announced in December 2014, the ECC had provided a subsidy of Rs. 10 per kg. (~USD 0.095).

*PKR to USD conversion as on 14 December 2015 - 104.75 PKR/USD.

On 19 January 2016, the ECC notified that the cash support will be provided only to sugar mills that purchase sugarcane at a minimum price of Rs. 180 per 40 kgs.