In a key move to curb inflationary pressures on essential commodities, the Ministry of National Food Security and Research on Monday announced that the ex-mill price of sugar has been fixed at Rs165 per kilogram, following successful negotiations with stakeholders from the domestic sugar industry.
The ministry, in an official statement, instructed all provincial governments to enforce the new pricing mechanism, ensuring that sugar is available to the public at the regulated rate.
“All provincial governments should ensure the availability of cheap sugar to the public,” the ministry said, underscoring the urgency of price control in the wake of recent market trends.
The development comes just days after the Trading Corporation of Pakistan (TCP) — the federal government’s commodity procurement arm — floated an international tender to import between 300,000 to 500,000 metric tons of white refined sugar to supplement domestic supplies and counter upward price pressures.
The deadline for submission of offers is July 18, and the tender allows bids from all global suppliers, with a minimum quantity requirement of 25,000 metric tons per offer. All sugar is to be packed in bags and sourced from worldwide origins.
According to traders familiar with the process, the TCP has reserved the right to purchase either more or less than the initially advertised quantity, depending on market conditions and bid competitiveness. Shipments are expected to arrive in phased consignments beginning in August.
On July 8, the federal government had formally approved the import of 500,000 tons of sugar as part of a broader effort to stabilise retail prices and address growing demand ahead of the next procurement cycle.
Market analysts noted that sugar prices in Pakistan have been rising consistently since January, fueled by a combination of reduced domestic output, speculative stockpiling, and volatility in international prices.
With retail sugar prices biting into household budgets, the combination of regulated pricing and strategic imports is seen as a twin-track approach by the government to prevent further inflation in the food sector.
The federal government has repeatedly emphasized the need for coordination with provinces to ensure fair market practices and discourage hoarding, artificial shortages, and profiteering in essential food items.
