KARACHI: The Trade Corporation of Pakistan (TCP) has set the condition that procurement of sugar remains contingent to payment clearance of farmers by sugar mills.
TCP, following orders of the federal government, issued a tender for purchase of 0.3 million metric tons of sugar, which would be opened on January 25th, reported Business Recorder.
According to rules and regulations notified by TCP, sugar mills will receive payments in three segments. 40 percent of the first tranche of payment will be received on submission of required documents, which includes commercial invoice and surveyor certificate.
Second tranche of 40 percent payment will be received on provision of a certificate from Provincial Cane Commissioner of respective province to the point the mills have paid all dues of farmers till end of crop year 2017-18.
The outstanding 20 percent will get disbursed after complete lifting of entire sugar quantity from mills by TCP, condition to presenting of sales tax invoice, final lifting report, clearance certificate issued by TCP and original delivery order.
According to the tender’s rules and regulations, the prices for lifting the sugar have been capped at Rs48 per kg. And lowest bidders in ascending order will be given preference to the max limit of Rs48 per kg. And offers made will remain valid for a period of fifteen working days.
TCP has ordered sugar mills to make offers for minimum quantity of 5,000 metric tons or maximum of 10,000 metric tons. But TCP has said it reserves the right to raise/lower the minimum or maximum quantity/limit to be procured from each bidder for achieving the required targeted quantity.
The sugar stocks purchased by TCP will be kept at sugar mills warehouses without any cost incurring until final lifting of and no tampering with the stock by the supplier will be tolerated.
