BANGLADESH: Cabinet turns down sugar exports

Published: 07/20/2012, 10:58:49 AM

Bangladesh's Cabinet Economic Affairs Committee on Thursday turned down the commerce ministry's plea for allowing sugar export apprehending possibility of artificial crisis in the local market, according to Bangladesh's Financial Express newspaper.

A ban on sugar export from the country is in force since March 2010. According to official sources, the Cabinet body meeting, with finance minister AMA Muhith in the chair, discussed the commerce ministry's proposal for allowing sugar export.

Many of the Cabinet body members found the proposal inappropriate ahead of the holy month of Ramadan when normally demand for sugar goes up substantially. They thought that if permission is given for sugar export, it will provide an opportunity for the sugar producers and traders to export those to international market, creating an artificial crisis in the local market.