Pakistan : CCP informs finance minister of sugar barons’ alleged data manipulation, recommends deregulation of sector
Pakistan’s Competition Commission told Finance Minister Aurangzeb that sugar millers have long submitted false data to win export approvals, causing shortages. The CCP urged using independent data sources, deregulating the sector, and curbing cartelization. Aurangzeb pledged support for faster case resolution, market transparency, and stronger competition enforcement.
The Competition Commission of Pakistan (CCP) has informed Finance Minister Muhammad Aurangzeb that sugar mill owners have allegedly been submitting incorrect data to the Sugar Advisory Board in order to obtain approval for exports, a practice that has contributed to recurring sugar shortages in the country, according to a news report.
In a briefing to the finance minister, the CCP detailed its findings, revealing how discrepancies in the data provided by millers to the board have persisted for nearly two decades.
The Commission highlighted that, instead of relying on inaccurate data from the industry, it recommended obtaining sugar production and stock information from reliable sources such as sugarcane commissioners and independent third parties before making export or import decisions.
The CCP’s assessment, covering the sugar crisis from 2008-09 to 2025, indicated that sugar barons have consistently used misleading data to secure government approval for exports. Despite this, the sugar industry has managed to avoid penalties by offering various excuses, the Commission noted.
To address these issues, the CCP proposed the deregulation of the sugar sector, arguing that public sector intervention has distorted the competitive market. The Commission believes that eliminating government control over sugarcane production and sugar manufacturing would be the most effective solution.
During the presentation, CCP Chairman Dr. Kabir Ahmed Sidhu briefed the finance minister on past sugar crises in 2008-09, 2015-16, and 2019-20, and shared findings on cartelization in the sector. Dr. Sidhu also updated the minister on the status of the CCP’s 2021 order against the sugar cartel, which was recently remanded for rehearing by the Competition Appellate Tribunal.
Senator Aurangzeb assured the CCP of the government’s support in expediting the court proceedings of pending cases and enhancing the Commission’s operational capacity. He emphasized the importance of a strong competition framework to protect consumers, ensure market transparency, and sustain economic growth.
The meeting also discussed regulatory measures to stabilize the sugar market and strengthen the CCP’s capacity to promote economic efficiency and a competitive business environment.
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Source : Profit Pakistan Today
