Govt fixes sugar price at Rs99 per kg

LAHORE: As per the recommendation of the Sugar Advisory Board (SAB), the Ministry of Food Security and Research (MNFS&R) has set the retail price of sugar at Rs 98.82 per kg across the country and a notification has also been issued in this regard.

The notice stated that the Government of Pakistan has implemented the ‘Price Control and Prevention of Profiteering and Hoarding Order 2021’ under the ‘Price Control and Prevention of Profiteering and Hoarding Act, 1977 (XXJX of 1977)’, in accordance with Sections 3, 4, and 6. The order was issued on August 24th, 2021 through S.R.O No. 1062(1)/2021 and S.R.O No. 1065(1)/2021, and it includes white sugar in PART-II of the schedule, and sets the price of white sugar based on the recommendations of the SAB.

The notice explains that the price of sugar has increased by an unprecedented percentage of over 30% in the current month. Therefore, it is in the best interest of the public to regulate the price of this essential commodity to protect consumers.

Furthermore, the notice disclosed that during its 6th meeting on April 17th, 2023, the SAB approved the sugar price that was calculated by the MNFS&R. 

Concerned Pakistan Sugar Mills Association (PSMA) and provinces were also instructed by the SAB to provide their feedback on the intended sugar price, as per Sections 3 and 6 of the Price Control and Prevention of Profiteering and Hoarding Act, 1977, and SRO 1062(1)/2021 dated August 24th, 2021.

The PSMA and provinces were requested to submit their feedback and comments by Thursday, April 20th, 2023. However, the PSMA requested for more time instead of providing comments on the costing, which goes against the larger public interest. In accordance with the SAB’s advice, the Provinces’ data and other relevant government agency information were reviewed before making the decision.

Lastly, the notification informed that under the Price Control and Prevention of Profiteering and Hoarding Act, 1977, and the provisions of regulation 3 to 5, along with Part II of ‘Price Control and Prevention of Profiteering and Hoarding Order 2021’, the Controller General of Prices has fixed the maximum retail price of locally produced white crystalline sugar at Rs. 98.82/kg. 

This price is inclusive of an ex-mill price maximum of Rs. 95.57/kg, along with sales tax. The Provincial authorities and ICT are directed to implement this order under the powers delegated to them by SRO.No.1(7)/ 2005-CA, Vol-III dated 14th September 2006, and urged to take action against mills, distributors, dealers and retailers who fail to comply with the order. To ensure the successful implementation of the order, authorities exercising the delegated powers of Controller General of Prices in the Provincial and Federal jurisdictions are required to file a weekly compliance report. Those who are aggrieved by this order were instructed to appeal before the appellate committee under the “Price Control and Prevention of Profiteering and Hoarding Order – 2021. It was finally communicated that the order will remain in force until the start of the next crushing season, unless rescinded or modified earlier. The notification concluded by stating that this order comes into effect immediately.