Stockpile by Deshbandhu Sugar Mill responsible for rise in prices: Tofail
Tuesday, 15 September 2009
The price of sugar is increasing as 6,000 tonnes of sugar is being stockpiled with Deshbandhu Sugar Mills, which the mill owner collected from the government for exporting or selling at local market, reports BSS.
The previous alliance government gave permission for import of sugar at private levels and the last caretaker government permitted sugar refiners to export sugar, which are the reasons behind the rise of sugar price in the country.
Chairman of the Parliamentary Standing Committee on Industries Ministry Tofail Ahmed said this at a press briefing after a meeting of the committee at the Jatiya Sangsad Bhaban in the city.
The committee members at the meeting suggested sale of sugar stockpiled with Deshbandhu Sugar Mill at the open market.
The committee recommended for not permitting any mill owner to export sugar until the country becomes self-sufficient in sugar production. Besides, it suggested the government for turning 4 to 5 state-owned sugar mills into refinery mills, Tofail Ahmed said.
Without high- level government decision and avoiding tender procedures, the last caretaker government gave approval to Deshbandhu Sugar Mill for exporting 6,000 tonnes of sugar.
Following that the mill owner collected sugar from the government for Tk 33,000 per tonne but it did not export the said amount of sugar saying that the export of sugar at higher price was not possible. The mill owner did not sell the sugar at the local market, rather it has stockpiled that sugar creating an artificial crisis in the market, the committee observed.
Tofail Ahmed said, the sugar refinery mills are also contributing to the rise of sugar prices as they import raw sugar at lower prices and sell refined ones at mill gate to their appointed buyers. Later, mill owners collect those sold sugar and make a stockpile by creating crisis at the market, he added.
The previous alliance government gave permission for import of sugar at private levels and the last caretaker government permitted sugar refiners to export sugar, which are the reasons behind the rise of sugar price in the country.
Chairman of the Parliamentary Standing Committee on Industries Ministry Tofail Ahmed said this at a press briefing after a meeting of the committee at the Jatiya Sangsad Bhaban in the city.
The committee members at the meeting suggested sale of sugar stockpiled with Deshbandhu Sugar Mill at the open market.
The committee recommended for not permitting any mill owner to export sugar until the country becomes self-sufficient in sugar production. Besides, it suggested the government for turning 4 to 5 state-owned sugar mills into refinery mills, Tofail Ahmed said.
Without high- level government decision and avoiding tender procedures, the last caretaker government gave approval to Deshbandhu Sugar Mill for exporting 6,000 tonnes of sugar.
Following that the mill owner collected sugar from the government for Tk 33,000 per tonne but it did not export the said amount of sugar saying that the export of sugar at higher price was not possible. The mill owner did not sell the sugar at the local market, rather it has stockpiled that sugar creating an artificial crisis in the market, the committee observed.
Tofail Ahmed said, the sugar refinery mills are also contributing to the rise of sugar prices as they import raw sugar at lower prices and sell refined ones at mill gate to their appointed buyers. Later, mill owners collect those sold sugar and make a stockpile by creating crisis at the market, he added.