Sugar prices in Pakistan have spiraled out of control, hitting Rs190 to Rs200 per kg, as profit-driven manipulation and weak regulatory enforcement fuel an artificial shortage. The official price remains Rs145, but retailers say they’re forced to sell at higher rates due to increased ex-mill costs.
Retailers and market experts blame government mismanagement and flawed data on sugar production and consumption for creating this crisis. “Mill owners and hoarders are cashing in, while retailers barely make a profit,” said Sheikh Tanveer, highlighting the jump in wholesale sack prices from Rs12,000 to Rs18,000.
Despite official claims of maintaining robust records, sugar crises emerge annually—a result of policy failures, experts argue. This year, the price hike adds Rs40-60 per kilo, straining household budgets nationwide.
Pakistan produced 6.8 million tonnes of sugar in the current fiscal year, up 3% from last year, and had a surplus of 7 million tonnes. However, the decision to allow exports earlier has backfired. Hoarders are now engineering a man-made shortage to manipulate prices.
Citizens across the country have voiced outrage, demanding Prime Ministerial intervention. “Every year, we’re looted. Nothing changes,” said one frustrated buyer in Lahore. “It’s the poor who bleed while the powerful walk free.”
While the FIA once cracked down on sugar barons—seizing records and making arrests—the operation was abruptly abandoned. Influential profiteers now freely control pricing, especially in markets like Jodia Bazaar (Karachi) and Akbari Mandi (Lahore).
To counter tax evasion, FBR officers have been posted at sugar mills, and joint operations with the Intelligence Bureau have been launched. However, these actions have yet to bring relief. During Ramadan, prices remained stable—but now, once again, the public is paying the price.
Adding insult to injury, the Ministry of Food is preparing to import sugar, using foreign reserves unnecessarily, even as local production remains sufficient. Critics argue that the move only serves to enrich corrupt networks while draining national resources.