20000211

CE urged to end

brokers' interference

in sugar industry

RECORDER REPORT

HYDERABAD: All Pakistan Trade Unions Organisation (Sindh Committee) has appealed to the Chief Executive to appoint a committee comprising judges of the high court and sugar technologists to suggest ways and means to operate the sugar mills on a sound footing without interference of brokers.

In a representation addressed to the Chief Executive, the General Secretary of the Sindh Provincial Committee of APTUO, Lakha Dino Jaskani, said that the sugar mill-owners, growers and workers were being held hostages in the hands of the brokers who manipulated the prices of sugarcane in violation of the support price announced by the government.

He said due to the manipulation of brokers, the sugar industry in Sindh was at the verge of collapse.

"Gone are the days when the sugar industry earned windfall profits and the employees enjoyed all facilities," Jaskani said. He pointed out that licences in the past to set up sugar mills were issued on political grounds and on the basis of favouritism and nepotism without taking into consideration the harmfull effects of the mushroom growth of sugar industry.

He said as a result of these corrupt practices the sugar mills in Sindh were operating below their production capacity due to the decrease in sugarcane production.

He said this was quite clear from the fact that the sugar mills which in the past continued production for nine months are now operating for only five months.

He said consequently the employment period of seasonal workers has also proportionately decreased. He said the workers and their families were now starving. He said that not only this, but the brokers had brought the sugar industry at the verge of collapse as they purchase sugarcane directly from the growers and blackmail the sugar mills. The brokers, Jaskani said, had beocme so powerful that they fixed their own rates by withholding the sugarcane supply to the mills. He said these brokers were earning tens of millions of rupees but paid no taxes to the government.

He said on the other hand, the sugar mills were forced to lay off and retrench the workers due to short supply of sugarcane. Jaskani maintained that brokers were the main charactres in crisis in the sugar industry.

He said it had become imperative to do away with the middleman and to direct the sugar mills to purchase sugarcane from the growers and added that this will benefit the sugar mills, the growers as well as the workers.

Jaskani also called upon the Pakistan Sugar Mills Association to take a firm stand on this issue and decide once and for all to eliminate the brokers and purchase sugarcane directly from the growers in accordance with the support price announced by the government from time to time.

Jaskani warned that if immediate action was not taken in this matter, the sugar industry will cease to exist.