The Pakistan Sugar Mills Association (PSMA) has urged the federal government to quickly allow exports of surplus sugar. With stocks far higher than local needs, mills and farmers are facing big financial losses. The association raised this during its North Zone meeting in Lahore.
According to PSMA, sugar production in the 2025-26 season exceeded demand. Domestic consumption is around 6.6 million metric tonnes, but total stocks have reached 7.9 million metric tonnes. This leaves a surplus of about 1.3 million metric tonnes.
Mills are currently selling sugar at less than Rs135 per kg, which is below production cost. This is causing losses and delaying payments to sugarcane farmers. PSMA says the government made promises in July 2025 to allow exports and deregulate the sector, but these have not been fulfilled yet.
Key Sugar Statistics (2025-26 Season):
| Item | Amount (Million Metric Tonnes) |
| Total Sugar Stocks | 7.9 |
| Estimated Domestic Consumption | 6.6 |
| Surplus Sugar | 1.3 |
| Potential Export Earnings | ~$620 million |
PSMA warned that delaying exports could hurt millions of farmers. Sugarcane production may rise by 20% next season, creating even more pressure. Exporting the surplus would bring valuable foreign exchange and help the economy.
The sugar industry supports many jobs and is important for rural areas. Experts say timely exports and deregulation can make the sector stronger and more competitive internationally.