Sugar Crisis: PAC Demands Names of Mill Owners from FBR, Grills Ministry Over Price Hike and Exports

Islamabad: The Public Accounts Committee (PAC) of the Parliament has demanded the names of sugar mill owners from the Federal Board of Revenue (FBR) amid ongoing concerns over the sugar crisis, price hike, and export subsidies. The committee held a heated session chaired by Junaid Akbar Khan, where senior officials from the Ministry of Industries and FBR were questioned over irregularities in sugar pricing and policy decisions.
During the meeting, committee member Riaz Fatyana alleged that the nation has been deceived of Rs. 287 billion through manipulated sugar pricing. He also criticized the removal of Punjab Cane Commissioner Zaman Wattoo, who had reportedly highlighted the issue. “One day, they say there’s a sugar surplus, and the next, a shortage,” he remarked.
The Secretary of Industries briefed the committee, explaining that sugar regulation falls under provincial governments and that the Sugar Advisory Board, which includes representatives from both federal and provincial levels—as well as industry stakeholders—assesses stock and production needs. He added that the crushing season runs from November 15 to March 15, and data on production is provided by provinces.
PAC Chairman Junaid Akbar questioned why subsidies were granted for sugar exports and who benefited from overnight tax exemptions through SROs. Member Moeen Amir Pirzada declared that the “sugar mafia is part of the government”, demanding full transparency on the beneficiaries.
When asked for details of sugar mill owners, the Ministry of Industries claimed to have a list of mills, but not the individual owners and directors. The Chairman reiterated, “We asked for names of the owners, not just the mills.”
Ministry officials revealed that Pakistan had a surplus of over 1.3 million metric tons of sugar this year, out of which 790,000 tons were approved for export in three phases. The government earned over $400 million in foreign exchange from these exports. At the time of export, sugar was being sold at Rs. 143/kg, whereas the current market price has surged to Rs. 173/kg.
Due to the price increase, Prime Minister Shehbaz Sharif formed a committee led by Deputy PM Ishaq Dar to investigate. The PAC also reviewed an FBR-issued SRO related to sugar import and tax exemptions. Committee member Sanaullah Mastikhel questioned the motive behind the SRO and accused the authorities of playing a “cat-and-mouse game” with the public.
In a strong statement, Mastikhel said,
“Enough is enough! If the sugar mill owners can’t run their mills ethically, hand them over to the people — we’ll manage them.”
Moeen Amir Pirzada criticized the Sugar Advisory Board, calling it the root of the crisis and urging the inclusion of public representatives. He also demanded to know how many dollars were wasted on sugar imports.
Khawaja Shiraz, another committee member, requested a complete list of owners of the mills involved in sugar exports. While FBR officials agreed to provide the names upon request, the Chairman expressed frustration:
“I already gave the order — where are the names?”
The PAC has now officially ordered the FBR to submit the names and details of sugar mill owners and directors involved in the exports, signaling possible further inquiries into profiteering and regulatory failures.