Govt denies sugar crisis as prices hit Rs190/kg in major cities

Minister blames hoarders for artificial shortage, vows strict enforcement of new price cap amid market chaos

Federal Minister for National Food Security Rana Tanveer Hussain on Thursday dismissed reports of a sugar crisis, claiming that Pakistan has sufficient stocks and stable prices  despite soaring rates and scarcity in major urban centres.

Speaking at a press conference in Islamabad, Hussain rejected what he called “misleading impressions” about sugar availability, saying the supply chain remains intact and that recent imports and exports were part of long-standing trade practices. He emphasised that all sugar trade decisions are vetted by the Sugar Advisory Board, which includes federal and provincial stakeholders.

The minister’s remarks come amid sharp increases in retail prices and widespread shortages reported in Lahore and Islamabad, with prices climbing to Rs190 per kilogramme in Karachi, Peshawar, and Quetta  far above the official retail cap.

According to Hussain, last year Pakistan had a surplus of 1.3 million metric tonnes, which justified the government’s decision to allow the export of the same amount. At that time, 800,000 metric tonnes of sugar were part of the opening stock, while total production reached 6.8 million metric tonnes.

He said exports commenced in October 2024 just 20 days before the start of the crushing season  when international sugar prices stood at $750 per tonne and domestic rates were Rs138/kg. “It was agreed that sugar would not be sold for more than Rs140 per kg in local markets,” he added.

However, the current production has fallen short of expectations. “We produced only 5.8 million tonnes this year, compared to the earlier projection of seven million,” the minister admitted, but he assured the public that sugar supply will be stabilised through timely imports and market regulation.

On the issue of imports, Hussain clarified that growers would not suffer. “We will ensure that sugarcane farmers remain protected while stabilising the market for consumers,” he said.

He further announced that the government has set a new sugar price ceiling and that action is already being taken against hoarders allegedly responsible for manipulating the supply. “There is no genuine crisis — only artificial shortages caused by profiteers,” he claimed.

Monitoring Desk
Monitoring Desk
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