Islamabad - Pakistan on Tuesday decided to import 0.2 million tons of sugar to meet shortages in the domestic market, officials said.

The economic coordination committee of the cabinet approved the purchase during a meeting chaired by Advisor to Prime Minister on Finance and Revenue Shaukat Tarin, a press release said.

"The sugarcane production is expected to fall short of the envisaged target by 20 percent this year, forcing the government to allow import of sugar to meet domestic requirements," a senior government official said after attending meeting.

Pakistan's domestic requirements of sugar stand at 4.2 million tons and decline in sugarcane production by 20 percent would mean the country needs to import a total of around 1 million tons sugar in fiscal year 2009.

"In order to avoid sudden shoot up in prices of sugar in international market, the government has decided to import the sweetener in phases," said the official.

According to estimates of International Sugar Association, sugar production is expected to decline to 162 million in 2008-09 against consumption requirement of 166 million tons, leading to an expected deficit of 4 million tons of sugar in international market.

Top three sugar producing countries are Brazil, India and China with production of 32.1 million tons, 28.5 million tons and 11.5 million tons respectively, while top three importers of sugar are the European Union, Russia and Indonesia. (dpa)