- Price hike coincides with govt’s decision on sugar export.
- Analysts attribute persistent rise to supply constraints.
- Import of raw sugar (shakkar) to increase future production.
ISLAMABAD: In its bid to stabilise and bring down soaring sugar prices, the federal government has decided to import raw sugar (shakkar), The News reported on Tuesday.
The import of raw sugar, as per a press release issued by the government, would help bring down sugar prices and would also increase future sugar production, as it could be refined and converted into sugar locally.
The development comes as sugar prices in the country have witnessed a significant increase in recent months with the price reaching the nationwide average to Rs150.43 per kilogram last month.
Since the week ending November 28, 2024, sugar prices have increased by Rs18.58 per kg, reflecting a 14.3% surge. A year ago, in February 2024, the average price had stood at Rs144.47 per kg, marking an annual rise of approximately Rs6 per kg.
The continuous price hike coincides with the government’s decision to approve large-scale sugar exports.
Between June and October 2024, authorities had permitted the export of 750,000 metric tonnes, including a final approval of 500,000 metric tonnes in October.
Market analysts attribute the persistent rise to supply constraints and export-driven demand.
Despite official price notifications, reports suggest that sugar is being sold at even higher rates in various cities, intensifying financial pressure on lower and middle-income consumers.
