Punjab sugar ordinance: Panel approves amendments to make Act more effective for farmers

LAHORE: The Special Committee of Punjab Assembly, on including the amendments made by the Punjab government in the Sugar Factories Control Act, 1950 through an ordinance which lapsed due to incomplete work, has again referred the proposed amendments to the law department for necessary corrections.

The meeting, which was due last week but postponed due to non-availability of the Senior Minister/Food Minister Aleem Khan, was held here on Monday in the Punjab Assembly. The meeting was presided over by the Minister for Law and Parliamentary Affairs Basharat Raja, who is also heading the committee, referred the proposed amendments to the law department.

The committee objected to the Section 13 Clause A inserted by the Food Department through the ordinance, which empowered the cane/additional commissioner using the Punjab Land Revenue to recover the cane growers' recoverable dues from the occupier of a sugar factory, in case it failed to make payment to growers in the stipulated time.

The proposed amendment introduced through the ordinance is stated as: “Insertion of 13-A in Act XXII 1950, ’13-A Powers of the Cane Commissioner to determine liability of the Occupier of a Factory - (1) the cane commissioner shall determine liability if the occupier of a factory for payment of cane price to a cane grower where a cane grower applies for the same. (2) When the cane commissioner makes a determination under subsection (1) and the amount so determined is not paid within the stipulated time period the amount shall be recoverable as arrears of land revenue under Punjab Land Revenue Act, 1967. (3) An amount recoverable as arrears of land revenue under subsection (2) shall be recovered by the Additional Cane Commissioner of the concerned district from occupier and the recovered amount shall be paid to the Cane grower in question. (4) The powers granted under subsection (1), (2)) and (3) shall be deemed to have always been vested in Cane Commissioner and the Additional Cane Commissioner, as case may be'.”

The committee observed there is a need for first amending the Punjab Land Revenue Act 1967 in order to include the Clause A in the Section 13 of the Sugar Factories Control Act, 1950 alongside developing a mechanism that how the growers will get their payment if it goes to government treasury. It was pointed out that proposed amendment is to facilitate the cane growers for timely payment of their crops. However, the proposed amendment will further delay the growers' payments rather than expediting the proposed mechanism.

The Minister for Law and Parliamentary Affairs, Basharat Raja, constituted a committee consisting of secretary for law department, secretary food and advocate general of Punjab to work on the proposed amendments and come up with a solution. He observed that inclusion of such clauses in the Act will be challenged in the court of law and if the court terminated it, then no such amendments would be possible in future.

Furthermore, Basharat Raja instructed the cane commissioner to establish a mechanism under the department for recovery of growers’ payment in case it would be needed due to delay. He observed that technically the recovery of the sugarcane growers due to delay should be made by the Food Department through cane commissioner. So the cane commissioner's department should evolve a mechanism, including opening a bank account and other necessary arrangements.

Further, he instructed to submit the details of required amendments needed to be made in the Punjab Land Revenue Act 1967 for this purpose.

Meanwhile, according to a handout issued, the committee approved several amendments to make the Act more effective for farmers. According to the amendment in Section 8 of the said Act, the sugar mills would now be bound to start the crushing season by the date given by the government. In future, only the owner of the sugar factory or his nominated representative will be able to buy sugarcane and no one else will be able to buy sugarcane. Earlier, a particular area was allotted for each sugar mill outside of which it could not buy sugarcane, but now sugar mills will be able to buy sugarcane from anywhere in the province. Suggestions were also made to increase the powers of the cane commissioner to ensure recovery of farmers' arrears, for which the committee will be convened again after two days for further discussion.

Raja Basharat said that maximum legislation for the protection and betterment of farmers under the direction of Chief Minister Usman Buzdar remains among the top priorities of the government.