The National Assembly Standing Committee on Commerce, led by Chairman Muhammad Jawed Hanif Khan, convened on Monday to review the progress on key trade policies, export diversification, regulatory reforms, and industrial competitiveness.
During the meeting, the committee adopted a report from the Ministry of Commerce and stressed the need to identify individuals responsible for past decisions allowing sugar exports that contradicted national interests. The Chairman emphasized the importance of accountability, calling for a detailed inquiry into those who facilitated these decisions.
A Sub-Committee, led by Dr. Mirza Ikhtiar Baig, Ms. Tahira Aurangzeb, Farhan Chishti, and Gul Asghar Khan, was formed to conduct an in-depth investigation into the matter. The committee also directed that the Competition Commission of Pakistan (CCP) be called to explain its failure to curb cartelization in the sugar sector.
Sugar prices in Pakistan have soared past Rs200 per kilogram following the government’s decision to shut down the sugar sales portal. The closure has led to a significant shortage of the commodity, causing prices to spike, with sugar now selling for between Rs210 and Rs220 per kg in several areas.
Dealers have expressed concerns, stating that while the government’s plan to import sugar was intended to stabilize the market ahead of the upcoming crushing season, which begins around November 20, the result has been a shortage of both local and imported sugar. Local mills have stopped supplying sugar to dealers, further exacerbating the crisis.
The government’s actions appear to be backfiring, according to sugar mill owners, who have called on higher authorities to reopen the portal to ensure a steady supply and prevent prices from rising further. Without intervention, they predict prices could reach Rs230–250 per kg, severely affecting consumers.
During a meeting with Food Security Minister Rana Tanveer, the Sugar Mills Association agreed to the minister’s suggestions. However, despite his promise to reopen the portal, it remains closed, leaving dealers selling sugar at inflated prices of Rs180-190 per kg, well above the Rs165 official price.Â
Mill owners allege that dealers, in collusion with powerful individuals, are profiting from the crisis.
The Sugar Mills Association has warned that if the Federal Board of Revenue’s track and trace system is not activated soon, the situation could worsen further in the coming week.
