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SCA urges govt to de-regulate sugar industry, sector
SCA urges govt to de-regulate sugar industry, sector

Business Recorder

time2 hours ago

  • Business
  • Business Recorder

SCA urges govt to de-regulate sugar industry, sector

HYDERABAD: The Sindh Chamber of Agriculture has strongly criticized the government's sugar policies and demanded to de-regulate the sugar industry and sugar sector be removed from government control. The Chamber termed the government's decision to import sugar from abroad as an 'economic massacre' of sugarcane farmers. It also once again appealed to Sindh farmers not to cultivate wheat in the upcoming 2025-2026 season. In a Statement issued from the Chamber's central headquarters in Hyderabad, Professor Dr. Syed Nadeem Qamar, the Central Chief Patron and President of the Sindh Chamber of Agriculture, harshly criticized the government's policies regarding sugar industries. He demanded that sugar industry must be de-regulated like wheat and other crops, and removed from government intervention. The sugar industry should be governed by market forces of supply and demand. He further said that the government should avoid importing sugar, as by June 30, 2025, the country already had a stockpile of 2.5 million metric tons of sugar, which would be sufficient until mid November 2025. With a monthly consumption of approximately 533,000 metric tons, the current stock would easily meet the national demand until mid-November 2025. He noted that sugar mills will be ready to start crushing by October 25, which will ensure fresh supply into the market, thereby saving valuable foreign exchange. He also highlighted that 80% of sugar consumption is by corporate sectors like soft drink factories, biscuit factories, bakeries, confectionery, and other commercial products, while only 20% is consumed by households. Therefore, keeping sugar prices under government control benefits commercial traders more than household consumers. He warned that if sugar is imported, it will arrive in Pakistan by the end of October 2025, while the local crushing season begins from November 1, 2025. This overlap would result in local farmers not receiving fair prices for their sugarcane crop. He also predicted a bumper sugarcane crop this year due to timely monsoon rains. The Chamber stated that the decision to import sugar would amount to economic murder of sugarcane farmers, as sugar mill owners would use the imported sugar as an excuse to deny fair prices to local Sugarcane growers. In the current inflationary period, the minimum price for sugarcane should be no less than Rs. 600 per 40 kg (maund). He reminded that under IMF pressure, the government has already withdrawn from buying wheat and removed it from official controls. If such deregulation is possible for wheat and the government no longer sets support prices, then there is no moral justification for the government to fix prices for sugar or other commodities. He also criticized the government's directive to sell sugar at Rs. 165--170 per kilogram, demanding that sugar be governed solely by market demand. Farmers have already suffered heavy losses in wheat, cotton, mustard, vegetables, and other crops. Their last hope lies in getting a fair price for their sugarcane. The Sindh Chamber of Agriculture urged all farmers in Sindh to completely boycott wheat cultivation in the 2025-2026 seasons and only grow it for their personal household consumption only because we feel that growers like last year will again loose the money in this crop. The wheat growing expenses are more than the income in this crop. We want to save the growers from continuous financial loss in the wheat crop. The growers of wheat will painfully celebrate year 2025-26 as wheat growing boycott year. Copyright Business Recorder, 2025

‘Cruel initiative': Farmers call for end to 45% agricultural income tax
‘Cruel initiative': Farmers call for end to 45% agricultural income tax

Business Recorder

time6 days ago

  • Business
  • Business Recorder

‘Cruel initiative': Farmers call for end to 45% agricultural income tax

Small and progressive farmers have called for abolishing the 45% agricultural income tax, describing it as a cruel initiative that will annihilate the entire agriculture sector given they have been dealing with 20%-50% underpricing of agricultural produce since the last couple of years. These farmers have said they will challenge the tax in the courts while declaring it as 'illegal' and 'unconstitutional'. Moreover, the farmers say they already been paying 5% to 15% agricultural income tax and advance agricultural income tax worth Rs200 per acre since 1994. IMF agreed to spare agriculture sector from taxes, says PM Shehbaz Sindh Chamber of Agriculture (SCA) Senior Vice President Nabi Bux Sathio told Business Recorder: 'Let me dispel common misconception of industrialists and trade bodies that agriculturalists do not pay taxes.' 'We are paying taxes since 1994 while we are not given loans by banks and no privileges like special industrial zones or special export zones etc by the government. Has the government any justification to increase agricultural income tax from 15% to 45%, while agricultural produce in the range of Rs600,000 is exempted from the tax?' He said industrialists, wholesalers and retailers can fix prices of their products but agriculturalists are at the mercy of the market. SCA rejects '45pc agricultural income tax' 'We are getting low prices for our agricultural produce since Jan 2024 - around 19 months. We are getting 20%to 50% less money for wheat, paddy (rice), cotton, oil seed crops and others. However, we have got a better price of sugarcane.' 'There are three main inputs for crops such as seeds, fertilizers and diesel. I get a 50 kg bag of DAP [phosphatic fertilizer] at Rs9,000, urea at Rs2,600, 1kg of hybrid rice seed at around Rs1,500, per litre diesel at Rs186 in 2023, while they are right now being sold at Rs13,000, Rs4,400,Rs2,000 and Rs286 respectively at a local market,' he added. Farmers Organisation Council Sindh Chairman Jawaid Junejo said there is a plan to destroy the agriculture sector which may bring about food insecurity in the country. He said the government must review its decision and give relief to farmers so that they may grow crops which can benefit the country and countrymen.

Pakistan farmers threaten wheat cultivation boycott over 'unethical' farm tax
Pakistan farmers threaten wheat cultivation boycott over 'unethical' farm tax

First Post

time23-07-2025

  • Business
  • First Post

Pakistan farmers threaten wheat cultivation boycott over 'unethical' farm tax

Sindh Chamber of Agriculture (SCA) alleged that a new 45 per cent income tax on farm earnings was introduced under pressure from the IMF and threatened of a widespread wheat cultivation boycott in protest read more In a development reflecting rising rural frustration at mounting economic pressures in Pakistan's farm belt and potentially spelling a world of trouble for food security in the cash-strapped nation, Sindh's largest agricultural body said it would mount a legal challenge against a new 45 per cent income tax on farm earnings, branding the levy 'unconstitutional, illegal and unethical'. The Sindh Chamber of Agriculture (SCA) warned of a widespread boycott of wheat cultivation in protest, escalating tensions between farmers and the provincial government. STORY CONTINUES BELOW THIS AD The chamber convened in Pakistan's Hyderabad on Tuesday (July 22) under the leadership of its patron-in-chief, Dr Syed Nadeem Qamar, to formalise its response. It alleged the tax was introduced under pressure from the International Monetary Fund (IMF), with the move drawing strong resistance from growers who argue that poor returns on crops leave no room for additional fiscal burdens, Dawn reported. Farmers attending the meeting said they were struggling to receive adequate prices for their produce and slammed the government's tax move as unjustified. The SCA responded by instructing farmers across Sindh to refrain from paying the new tax, adding that if authorities attempted arrests, 'millions of other farmers would also court arrest.' 'We are ready to face imprisonment, but will not pay the agricultural income tax,' the group's leaders declared. Participants vowed full-scale defiance, comparing their treatment unfavourably to industrialists, who they said had been granted tax exemptions. The SCA also declared a boycott of wheat cultivation for the 2025-26 season, citing inadequate support prices. Instead of sowing wheat, the SCA said farmers would switch to alternative crops such as mustard, nigella (kalonji), sunflower and other oilseeds. The group said growers were unable to recover their costs due to low wheat prices and declared 2025-26 a 'boycott year' for the staple crop. The chamber also raised alarm over a 40 per cent decline in cotton output, forecasting a total yield of no more than four million bales. It said that although the Sindh agriculture minister had pledged a support price of Rs11,000 per maund, farmers were currently receiving just Rs6,500. STORY CONTINUES BELOW THIS AD The SCA called for the immediate removal of an 18 per cent local tax on cotton and demanded a 25 per cent tariff on imported cotton to encourage domestic production. At the same time, it voiced concern over the surging cost of key inputs, noting a PKR 22 per litre jump in diesel prices and a PKR 600 increase in DAP fertiliser per bag over just a fortnight. Such rising costs, paired with stagnant farmgate prices, were pushing cultivators to the brink. The chamber warned that this squeeze signalled a 'deliberate destruction' of the agricultural sector and called on the authorities to reverse the price hikes on diesel, fertiliser, seeds and pesticides immediately. Farmers were urged to register for the government's Benazir Hari Card via local administrative offices to access welfare benefits. The chamber also demanded that existing subsidies of PKR 10,000 per acre– currently applied to sunflower and canola– be extended to mustard and rapeseed crops as well. STORY CONTINUES BELOW THIS AD The meeting included senior figures from Sindh's farming leadership, including Sindh Irrigation and Drainage Authority Chairman Kabool Khatian, general secretary Zahid Bhurgari and agricultural organisers from across the province.

SCA rejects ‘45pc agricultural income tax'
SCA rejects ‘45pc agricultural income tax'

Business Recorder

time23-07-2025

  • Business
  • Business Recorder

SCA rejects ‘45pc agricultural income tax'

HYDERABAD: The Sindh Chamber of Agriculture (SCA) has completely rejected the 45 percent agricultural income tax, declaring the act unconstitutional and illegal. They announced their decision to challenge it in court and called on farmers across Sindh to boycott wheat cultivation this year. The meeting of the Sindh Chamber of Agriculture was held today at its headquarters in Hyderabad under the chairmanship of Chief Patron and Central President, Professor Dr. Syed Nadeem Qamar. A large number of farmers from across Sindh attended the meeting. During the meeting, the farmers strongly protested against the imposition of a 45% agricultural income tax by the government under IMF directives. They declared the act unconstitutional, illegal, and unethical, and announced that they would challenge it in court. The farmers argued that they are not receiving fair prices for their produce, so there is no justification for imposing such a tax. The Chamber urged all farmers across Sindh to refuse to pay the agricultural income tax and warned that if the government resorts to arrests for non-payment, millions of farmers in Sindh are ready to face imprisonment but will not pay the tax. They announced a complete boycott of the agricultural income tax and demanded the government provide tax exemptions to farmers, similar to those given to industrialists. The Chamber also called on all farmers in Sindh to boycott wheat cultivation for the upcoming 2025-2026 season, citing inadequate support prices. They recommended growing alternative crops such as mustard, nigella (kalonji), sunflower, and other oilseed crops instead. The farmers said that due to very low wheat prices, they cannot even recover the costs of production, and this year will be marked as a boycott year for wheat cultivation. The Chamber expressed deep concern over a 40% decline in cotton production this year, estimating that the yield will not exceed 4 million bales. Farmers are receiving only around Rs. 6,500 per maund for cotton, while the Sindh Agriculture Minister had promised a price of Rs. 11,000, which has not materialized. The Chamber demanded that the 18% local tax on cotton be eliminated and reduced to 0%, and that a 25% tax be imposed on imported cotton to discourage imports and promote local production. Copyright Business Recorder, 2025

Farmers push for govt support as climate change, water shortage threaten Pakistan's mango industry
Farmers push for govt support as climate change, water shortage threaten Pakistan's mango industry

Business Recorder

time07-07-2025

  • Business
  • Business Recorder

Farmers push for govt support as climate change, water shortage threaten Pakistan's mango industry

KARACHI: The government needs to adopt modern techniques and technologies to protect mangoes, said progressive farmers and food technologists while talking to Business Recorder. Nabi Bux Sathio, Senior Vice President at the Sindh Chamber of Agriculture (SCA), said fewer mangoes grew this year, compared to last year, due to several factors. 'Firstly, nearly 15-20% of the fruit fell from trees prematurely due to dust and thunderstorms. Secondly, there was an acute water shortage at the time of fruiting. 'Both climate change and water scarcity took a heavy toll on the fruit yield and size,' said Sathio. He said that the government has set no target for mangoes as it is categorized neither as a major nor a minor crop, but as a fruit. In Sindh, mango orchards cover nearly 100,000 acres. Traditionally, the top five mango-producing districts in the province are Mirpurkhas, Tando Allahyar, Matiari, Khairpur and Tando Jam of Hyderabad district, where 90% of Sindh's mangoes are cultivated. Meanwhile, 70% of mangoes in Punjab are grown in Multan, with the remaining 30% produced in Bahawalpur and other areas. In terms of overall production, Sindh accounts for over 60% of the country's output. The rest, especially Chaunsa, are grown in Punjab. Sindh is known for varieties such as Sindhri, Chaunsa, Anwar Ratol, Langra, Daseri, Baingan Phalli, Gulab Khas and others. Mango began to reach markets from May 1 to July 31. After July, cold storage mangoes or varieties from Multan become available. Speaking to Business Recorder, Sathio urged authorities, including the Indus River System Authority (IRSA), Sindh Irrigation Department and others, to ensure 100% water supply to orchards during the season. 'There is a one-and-half-month harvest window, and farmers wait nearly 10 months to earn a decent living. The fruit takes 90 to 100 days to mature, during which four water cycles are required to ensure proper fruiting, sweetness, weight and size,' Sathio said. Local mangoes are high in demand internationally. Mangoes from Sindh are mostly exported, while mangoes from Punjab are utilized in juices, with only 2-3% being exported. However, when it comes to mango export, it is not just about picking ripe fruit, ''it's a science', said Sindh Agriculture University (SAU) Institute of Sciences and Technology Associate Professor Dr Aasia Akbar Panhwar. 'In Pakistan, we have seen how simple post-harvest mistakes lead to high rejection rates at international ports,' she said. She informed that the institute has initiated training farmers on proper harvesting techniques. 'Hot water treatment (HWT) became essential. This step kills fruit fly larvae and meets the phytosanitary standards of countries like Japan and the USA. 'We also introduced mechanical brushing to remove field residues and controlled de-sapping to keep mangoes blemish-free,' she said. Equally important was quality packaging that maintains humidity, minimises damage, and promotes traceability. 'These interventions, though simple, made a profound difference. Exporters who adopted them saw fewer rejections and better prices,' she said. Moreover, the government should play a proactive role in establishing centralized mango processing and treatment facilities, particularly in major mango-producing regions such as Mirpurkhas, Tando Jam Multan, Rahim Yar Khan, Bahawalpur and DI Khan. However, any smallholder farmers in these areas lack access to essential post-harvest infrastructure, including HWT units, mechanized grading and sorting lines, and export-compliant packaging systems. Government-led investment in such facilities would ensure compliance with international phytosanitary standards, reduce post-harvest losses, and significantly improve the marketability of Pakistani mangoes abroad. This would not only enhance export volumes but also increase farmers' income and strengthen Pakistan's position in the global fruit market. Moreover, these plants can function as training and demonstration hubs, promoting awareness and adoption of good agricultural and post-harvest practices among growers, packers, and exporters, thereby building a more resilient and value-driven mango supply chain. Protection of mangoes: Mangoes can be protected through integrated pest management (IPM), timely harvesting, and post-harvest treatments. Pre-harvest protection includes bagging of fruits, the use of pheromone traps, and biological control to minimize insect damage. Meanwhile, post-harvest, fruits should be handled carefully to avoid bruising, and treated with hot water or fungicides to prevent decay. Cold chain management, hygienic packing, and transportation under controlled temperatures further protect quality. Awareness and training of growers on best practices and monitoring systems also play a vital role in reducing losses and improving fruit safety and export potential. What are Phytosanitary protocols? Phytosanitary protocols are scientific measures implemented to prevent the spread of pests and diseases essential to international trade. For mango exports, these protocols include HWT, vapour heat treatment, pest-free area certification, and proper documentation and traceability. They are enforced under the International Plant Protection Convention (IPPC) and vary by importing country. Compliance ensures that exported mangoes are free from quarantine pests like fruit flies and fungal pathogens. Adherence to these standards minimizes rejection risks, maintains the importing country's biosecurity, and safeguards the exporting country's market reputation and access.

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