Rawalpindi [Pakistan], October 24 : After a wave of vegetable price shocks, Pakistan is now staring at a fresh sugar crisis, with prices in the open market surging once again to Pakistani Rs 200 per kilogram. Sugar officially priced at Pakistani Rs 181 per kg has become virtually impossible to find at retail shops across major urban centres, as reported by The Express Tribune.
According to The Express Tribune, the traders stated that the government-controlled rate has become irrelevant, as no shop in Rawalpindi or nearby areas is selling sugar at the official price.
Wholesale markets tell a similar story, with the price of a 50-kilogram bag of sugar skyrocketing to Pakistani Rs 10,000, a steep rise from recent weeks.
The hike in sugar costs has been compounded by a 25 per cent increase in transport fares by goods carriers on routes connecting Karachi, Rawalpindi, and Peshawar, pushing consumer prices even higher.
The crisis was also a key focus in a recent session of the National Assembly Standing Committee on National Food Security and Research.
Federal Minister for Food Security Rana Tanveer Hussain informed lawmakers that the government would not compel sugar mills to begin crushing on schedule. Instead, he said, each mill would decide its own start date, whether in early or mid-November.
The minister further explained that under Pakistan's agreement with the IMF, the government is restricted from fixing the procurement price of sugarcane, which last year ranged between Pakistani Rs 400 and Pakistani Rs 700 per maund (38 kg). While Punjab's sugarcane crop will be ready by November 1, mills are reportedly delaying crushing to maximise sugar recovery, as highlighted by The Express Tribune.
Insiders revealed that the government had earlier reached an understanding with sugar mills to start crushing in the first week of November. But by backing away from that commitment, authorities have effectively safeguarded the mill owners' financial interests at the expense of farmers.
Critics argue that this leniency will result in heavy losses for growers, as their crops lose weight and quality and delay the next planting season. The traders now fear that without immediate action, Pakistan's sugar prices will continue to rise, intensifying inflation and deepening the financial strain on an already struggling population, as reported by The Express Tribune.
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