Government Admits Sugar Price Reaches Rs190/kg, Plans Sugar Import

The government has admitted that sugar prices have reached nearly Rs190 per kilogram in most cities of the country. To address the shortfall, the government has decided to import 500,000 metric tons of sugar. The Ministry of Planning, Development and Special Initiatives made this admission after a meeting of the National Price Monitoring Committee (NPMC). Federal Minister for Planning Ahsan Iqbal chaired the meeting to review inflationary trends and pricing mechanisms across the country. According to the press statement, sugar prices have surged to nearly Rs190 per kilogram in most cities. The Pakistan Bureau of Statistics reported that the maximum sugar prices reached Rs196 per kilogram in the country. The surge in sugar prices is attributed to the government's decision to export 765,000 metric tons of sugar, which led to a 40% increase in prices from Rs140 per kilogram. The Planning Ministry noted a decline in sugar production this year, prompting the decision to import 500,000 tons of sugar to stabilize the market. The meeting also discussed decreases in prices of essential items like LPG, bananas, mustard oil, chickpeas, and moong dal. The inflation rate for the fiscal year 2024-25 was reported at 4.5%, a significant decrease from the previous year. Minister Ahsan Iqbal highlighted the government's effective policy interventions and improved supply-side management that contributed to the lowest inflation rate in nine years. Food inflation in urban areas was recorded at 4.2%, down from 6.2% last year. Supply chain disruptions due to highway closures in Sindh were identified as a factor in localized price fluctuations. Minister Ahsan Iqbal emphasized the importance of effective monitoring through the Price Scorecard system and directed provincial administrations to utilize it more efficiently. The Competition Commission of Pakistan will work with the food ministry and provincial governments to determine fair profit margins between wholesale and retail trade. Provincial governments have been urged to strengthen their price monitoring mechanisms by enhancing the use of the Decision Support System for Inflation (DSSI) in their jurisdictions.