The Economic Coordination Committee (ECC) of the Cabinet approved import of urea for the current Kharif season, lifting of 400,000 tonnes of sugar from mills, and granted wavier of Rs 11.33 billion demurrage charges on Afghan transit cargo at Karachi port. Meeting of the ECC was held under the chairmanship of Finance Minister Dr Abdul Hafeez Shaikh. An official source said that the meeting allowed lifting of 400,000 tonnes of sugar by the Trading Corporation of Pakistan (TCP) from sugar mills at a rate of Rs 61 per kg. The millers had sought lifting of 0.4 million tonnes of sugar by TCP to pay dues of over Rs 10 billion to the farmers. TCP was directed to lift sugar directly from the mills without involving middlemen.
Due to the gas crisis, the meeting was informed that urea production would remain below target. The committee allowed import of urea but the quantity of the imported commodity would be set after taking into account the urea supply and demand gap, the source said.
A statement of the Finance Minister said that the committee approved a waiver of demurrage charges on Afghan transit at Karachi Port. The Prime Minister, during his visit to Kabul, had desired that the Ministry of Port and Shipping may place a summary in the ECC for consideration of the waiver. As per procedure, the consignee has to complete custom formalities and obtain a clearance certificate for removal of goods from the port and the committee has approved it.
It also approved a summary moved by Petroleum Ministry on options for fertiliser curtailment distribution. The ECC approved this summary, whereby, SNGPL will be supplying 40MMCFD gas to the fertiliser sector by installing equivalent volume from IPPs. Representatives of fertiliser industry agreed that they will make direct arrangements with IPPs for payment of two third of the total incremental cost as their share.
On the summary moved by the Petroleum Ministry for the supply of gas to KESC, the ECC asked for a detailed presentation on the formula for the price differential adjustment which will be reimbursed to the KESC by the Ministry of Finance. The ECC deferred the summary on the allocation of gas from Kandhkot and Mari Gas Fields to thermal power station Guddu. AMER SIAL
