Islamabad – The Competition Commission of Pakistan (CCP) has approved a one-time postponement in the high-stakes cartelisation case involving 79 sugar mills and the Pakistan Sugar Mills Association (PSMA), following a formal request for deferment due to legal unavailability during the court’s summer recess.
The hearings, which were initially scheduled for August 4–7, will now be held from September 22 to 25, as per the CCP’s revised order. The commission, however, clarified that no further delays will be entertained and warned that absence from the upcoming hearings may result in ex-parte proceedings against the parties involved.
This delay marks another chapter in a case that has spanned years. The controversy stems from a Rs44 billion finepreviously imposed by the CCP on sugar mills and the PSMA over alleged price-fixing and cartelisation practices. However, in a 2022 decision, the Competition Appellate Tribunal (CAT) set aside the penalty, citing procedural flaws, including the casting vote exercised by the then CCP chairperson in a deadlocked 2–2 verdict.
The CAT’s order required a fresh hearing, which the CCP is now preparing to undertake under its reconstituted bench.
In parallel, more than 50 sugar mills have filed appeals with the Supreme Court of Pakistan, not only challenging the CAT decision but also questioning the constitutional legitimacy of the CCP itself. Some mills argue that the regulatory framework of the CCP stands on shaky ground in light of the 18th Amendment, which devolves many economic matters to provincial authorities.
The CCP stated that the hearing dates were revised in consideration of the Supreme Court’s summer break and the ongoing legal challenges that are expected to be addressed in early September.
Industry watchers suggest that the case has far-reaching implications, not only for the sugar sector but also for broader enforcement of competition laws in Pakistan.
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