HomePakistanPunjab Sugar Mills Record Higher Production

Punjab Sugar Mills Record Higher Production

According to the latest data released by Punjab sugar mills, crushing activity and sugar availability across the province remain stable, supported by improved recovery rates and consistent market supply during the 2025–26 season.

Strong Growth in Crushing and Production

As of 25 December 2025, sugar mills in Punjab reported:

  • Sugarcane crushed: 12.65 million metric tons
  • Sugar produced: 1.126 million metric tons

This represents a significant improvement compared to the same period last year:

  • Production increased by 142,335 metric tons year-on-year
  • Crushing volumes rose by 1.129 million metric tons, reflecting stronger operational efficiency across mills

These gains indicate improved coordination in supply flow and better mill-level performance across the province.

Stock Position and Market Supply

Including last season’s carry-forward stock of 112,116 metric tons, total available sugar stocks reached 1.238 million metric tons.

Market distribution data shows:

  • Sugar sold: 548,714 metric tons
  • Remaining stocks: 689,013 metric tons held at mill level
  • Sales ratio: 44.32%, up by 6.54 percentage points compared to last year

Market sources confirm that overall supply conditions remain stable, with adequate stock levels ensuring smooth availability in both wholesale and retail markets.

Regional Production Performance

Punjab’s regional output highlights strong contributions from key divisions:

  • Bahawalpur Division:
    • 4.3+ million metric tons crushed
    • 397,345 metric tons sugar produced (highest in the province)
  • Faisalabad Division:
    • 326,685 metric tons sugar produced
  • Dera Ghazi Khan Division:
    • 173,267 metric tons sugar produced
  • Sargodha Division:
    • 137,993 metric tons sugar produced

Bahawalpur continues to lead provincial production, reflecting strong cane availability and efficient milling operations.

Recovery Rates and Industry Efficiency

The average sugar recovery rate has improved to 9.34%, compared to 8.94% in the previous season. Analysts attribute this improvement to:

  • Better cane quality
  • Favorable weather conditions during early harvesting
  • Improved mill-level efficiency

These factors have collectively contributed to higher sugar output and better utilization of raw material.

Market Stability and Industry Monitoring

Analysts note that improved recovery rates and stronger production have helped maintain price stability in the domestic market, while also ensuring timely payments to sugarcane growers.

Authorities have also confirmed that strict monitoring of sugar mills is ongoing to prevent hoarding and unjustified price increases, helping maintain transparency in the market.

Additionally, higher sales volumes during the current season have reduced sugar inventories by nearly 30% compared to last year, improving liquidity for mills and supporting smoother cash flow across the sector.

Conclusion

The latest data from Punjab sugar mills reflects a relatively stable and well-supplied sugar market, supported by higher production, improved recovery rates, and effective stock management. Strong regional contributions, particularly from Bahawalpur and Faisalabad, have played a key role in maintaining overall output growth.

While reduced inventories and active sales have improved liquidity for mills, they have also ensured that supply remains consistent in the domestic market, helping prevent price volatility.

If current trends continue, Punjab’s sugar sector is likely to maintain a balanced market environment with stable prices, efficient mill operations, and improved returns for growers, provided that crushing operations remain uninterrupted in the final phase of the season.

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