LAHORE – The government and Pakistan’s sugar industry have reached an agreement, setting the ex-mill price of sugar at Rs. 165 per kilogram.
A statement issued by the Ministry of National Food Security said this decision was made following successful negotiations with sugar mill owners. Provincial governments have been instructed to ensure the availability of sugar to the public at this reduced price.
Currently, sugar is being sold for up to Rs200 per kilogram in various parts of the country, largely due to market manipulation and hoarding by powerful sugar groups.
In response, the government temporarily removed taxes on sugar imports in an effort to curb rising prices. However, this move has yet to result in a noticeable reduction in retail prices.
The Wholesale Grocers Association has called for a crackdown on hoarders rather than focusing on import-based solutions, arguing that strict action against illegal stockpiling would immediately reduce prices.
This new price of Rs165/kg will be in effect from July 15 to August 15. After that, the price will gradually increase by Rs 2 every 15 days, reaching Rs. 171/kg by October 15.
The government has clarified that no further increase will occur after this period. The sugar crushing season is set to begin on November 7, and current sugar prices include Rs 27.50 in taxes.
