European traders reported on Monday that the Trading Corporation of Pakistan, Pakistan's state-owned agency, had issued a tender for 100,000 metric tonnes of white refined sugar.

The deadline to submit price offers is August 11th.

Traders said that the announcement appears to show that Pakistan has decided not to purchase 100,000 tons of sugar in its previous tender on July 31.

The Pakistani government approved on July 8 plans to import 500 000 tons of sugar in order to maintain the price stability. Analysts said retail sugar prices have increased sharply in Pakistan since January.

Three companies participated in the tender on July 31, with the lowest offer being $539.00 per ton, cost and freight included.

Pakistan received no bids in an earlier tender for 50,000 tons sugar on the 22nd of July. Traders said that the deadline to load shipments between August 1-15th was too short to receive realistic offers.

The new tender is looking for small/fine sugar and medium grade from around the world, except India and Israel. It will be packed in bags and transported in ocean shipping containers, or as breakbulk.

Breakbulk Supplies are needed from September 1-15, for 50,000 tonnes and between September 10-25, for 50,000 tonnes.

Shipping of 50,000 tons sugar in ocean containers can be done between September 1 and October 20.

The sugar should arrive in Pakistan before October 20. Michael Hogan, Sonia Cheema and Michael Hogan report.

(source: Reuters)