744 kanal land of Chenar Sugar Mills attached over farmers’ dues

The Punjab government has initiated a major recovery action against Chenar Sugar Mills (Private) Limited, Tandlianwala, over outstanding

LAHORE/FAISALABAD: The Punjab government has initiated a major recovery action against Chenar Sugar Mills (Private) Limited, Tandlianwala, over outstanding payments allegedly owed to sugarcane growers, with authorities ordering the attachment of more than 744 kanal of the mill’s land.

According to official documents, the Deputy Commissioner and District Collector Faisalabad ordered the attachment of 744 kanal and 8 marla of land registered in the name of Chenar Sugar Mills for recovery of Rs2.837 billion in outstanding dues payable to sugarcane farmers.

The order was issued on September 16, 2026, under the Punjab Land Revenue Act, 1967, following directions from Punjab Cane Commissioner and Director General Food Amjad Hafeez.

Recovery proceedings initiated

Official records state that the sugar mill had failed to clear the outstanding payments despite notices and directions issued by the relevant authorities. Following the alleged failure to settle the dues, recovery proceedings were initiated by treating the amount as arrears recoverable under the land revenue framework.

The action involves land situated at Chak No. 407/GB, Tehsil Tandlianwala, District Faisalabad. According to the revenue record cited in the attachment order, the property falls under Khewat No. 89 (Old Khewat 88) and Khatooni No. 590.

Under the order, the attached property has been placed under the management of the Tehsildar Tandlianwala, who will be responsible for its protection and management. The Tehsildar has also been directed to maintain detailed records of any income and expenditure associated with the property.

The Deputy Commissioner has prohibited the sale, purchase, mortgage, lease or any other transaction involving the attached land until the recovery proceedings are completed.

Any income generated from the property is to be deposited into the government treasury and adjusted against the outstanding amount payable to the growers, according to the official order.

Significance for sugarcane growers

The action comes amid recurring concerns among farmers regarding delays in receiving payments from sugar mills. Growers rely on timely payments to meet cultivation expenses, repay agricultural loans and prepare for subsequent crops.

Officials in the Food Department said the latest action demonstrates the use of available legal mechanisms to recover growers’ outstanding payments. They added that the proceedings could also serve as a warning to other mills facing payment disputes with farmers.

Under the applicable legal framework, the Cane Commissioner has powers relating to recovery of certain outstanding amounts from sugar mills. Further action will depend on the recovery proceedings and compliance with the orders issued by the authorities.

What happens next?

The attached property will remain under official management until the recovery process is resolved. If the outstanding amount is not recovered through payment or other lawful means, authorities may proceed with further measures available under the relevant land revenue laws, subject to the prescribed legal procedure.

Farmers seeking information about outstanding payments may approach the concerned Cane Commissioner and district administration offices with relevant documents, including their CNIC and Cane Purchase Receipt.

Farmers welcome action

Farmer representatives Khalid Hussain Batth and Khalid Khokhar welcomed the government’s decision and called for similar action in cases where sugarcane growers’ payments remain unpaid.

They said timely recovery of farmers’ dues was essential for protecting growers and ensuring greater accountability within the sugar sector.

The Pakistan Sugar Mills Association (PSMA), North Zone, had not issued a statement regarding the attachment at the time of publication.