Sugar Crisis in Pakistan

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University of Lahore (Lahore Business School)
Hassan Zia BBA02103079
Muhammad Nabeel BBA02103078

Hassan Awan
Section A

Hassan Zia BBA02103079
Muhammad Nabeel BBA02103078

Hassan Awan
Section A


We would like express our sincere thanks to Sir. Talal Khalid for guidance and supporting in making this report effectively. We hope you will find this report as a valuable asset while studying Pakistan economy. Needless to add that we will look forward to your valuable feedback including the grey areas so as to incorporate them.

M. Nabeel,
Hassan zia


Sugar Crisis Reality:6


Sugarcane is one of the most valuable crops in Pakistan. According to the Food and Agriculture Organization of United Nations FAOSTAT, Pakistan is the 15th largest producer of the sugar in the world, and 5th largest in the term of area in sugar cultivation. The sugar industry is the 2nd largest agro based industry which consists of 86 sugar mills. Sugar industry is the second largest after textile. Sugar sector makes up 4.2 per cent of manufacturing. Its shares in value added of agriculture and GDP are 3.4 percent and 0.7 percent respectively. According to the ministry of Industry and Production total crushing capacity of the sugar mills is about 505,000 tons. According to USDA Pakistan Annual sugar report state that total per capita refined sugar consumption is estimated at 25 kilograms and it is based on strong demand and improved supply. Sugar has increased from 2.89 million tons in 1995-96 to 3.95 million tons in 2005-06. One of the many reasons behind that increase is rise in the total population of the country, which has reached 170 million. The per capita sugar consumption data shows that it has also risen from 22.2 kg in 1995 to...
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