Jahangir Tareen’s sugar mills are involved in over-invoicing and double billing

ISLAMABAD: The federal government has unveiled the sensational details of looting in the country by the Sugar Mills Mafia.

After the federal cabinet meeting in Islamabad, the government team held a long press conference on the report of the Sugar crisis and shed light on how the sugar mills mafia looted the people and caused billions of rupees to the national exchequer. Federal Minister for Information Shibli Faraz said that the Prime Minister had conducted a forensic audit of the Sugar crisis report. We have to expose the mafia which has sucked the blood of the poor in the country and harmed the country.

Severe loss to farmers

Special Assistant for Accountability Shehzad Akbar said that the Prime Minister always says that the one who does business will also do business in politics, this statement of the Prime Minister has come true, Sugar Mills abused the farmers and caused continuous loss, deduction from the farmer. The sugar mills continued to harm the farmers by reducing the quantity of sugarcane by 15 to 30 percent.

Expensive cost was shown by buying cheap sugarcane

Shehzad Akbar said that Sugar Mills bought sugarcane from the farmers at a lower price than the support price and on raw slips. The owners continued to do unofficial banking with the farmers. In 18-18, the price of sugar was fixed at Rs. 13. In 2017-18, the mill owners stated that the cost of sugar was Rs. 51, although the commission fixed the cost at Rs. 38.

Tax evasion by showing anonymous sale of sugar

Shehzad Akbar said that similarly, a difference of Rs 12.5 was found in 2018-19, a difference of Rs 16 was found in 2019-20, Sugar Mills set a higher price of Rs 12 in 2018-19 and Rs 14 in 2019-20. Sugar mills have created two accounts, one account is shown to the government and the other to Seth. Tax evasion was also done by showing anonymous sale of sugar. Sugar mills have illegally increased the number of crushing units.

Rs 5.2 billion profit and tax evasion on one rupee increase

The Special Assistant said that even if the price of sugar is increased by just one rupee, a profit of Rs 5.2 billion is earned. In Pakistan, it is about 25 per cent times undeclared (undocumented) from which it is not even taxed. Over the years, 88 sugar mills were given a subsidy of Rs 29 billion, these sugar mills paid income tax of Rs 22 billion and income tax refunds of Rs 12 billion were withdrawn, thus only Rs 10 billion income tax was paid.

Sindh government’s subsidy to Omni Group

Shehzad Akbar said that the Sindh government has benefited immensely by subsidizing the Omni Group. Evidence of double reporting has been found in the Shahbaz Sharif family’s sugar mills. JDW Group’s Sugar Mills have been implicated in corporate fraud, Jahangir Tareen Group’s Sugar Mills have been involved in over-invoicing and double billing, Sharif family’s Sugar Mills has been found to be double-reporting.

Sugar suspicious exported to Afghanistan

The Special Assistant said that the Sugar exported from Pakistan to Afghanistan is suspicious, there was a discrepancy between Pakistan’s export and Afghanistan’s import data, a truck can carry 15 to 20 tons, but it was revealed that 70 per truck. 80 tons of sugar has been taken to Afghanistan, this is a joke that no one has noticed till date.

Sugar crisis watchdog

Shehzad Akbar said that the Commission of Inquiry held the regulators responsible for the Sugar crisis, whose negligence caused the Sugar crisis and increased the price. The federal cabinet also directed other mills to issue forensic orders and recommended recovery and payment to the public.

Naeem Ur Rehman

Pakistan's youngest blogger and the CEO of He is currently the student of BS Environmental Sciences at University of the Punjab, Lahore. He is also working as a senior advisor to, Mukaalma, and Pylon TV.

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