Sugar Price Spike Deepens as Supplies Tighten
Retail sugar prices in Karachi have risen to Rs215 per kg, with imported superfine sugar at Rs180 and local thick-crystal at Rs204. Retailers blame delayed mill deliveries, while millers cite FBR portal shutdown, forced sales of imported stocks, and movement restrictions. Authorities hope prices will ease as new crushing-season supplies reach markets.
Retail sugar price in Karachi keeps rising as retailers now charge up to Rs215 per kg. Wholesale rates have also climbed sharply during the sugarcane crushing season. The imported superfine variety sells for Rs180 per kg, while the local thick-crystal type costs Rs204 per kg. Weekly data also shows a steady increase, even though official price lists remain unchanged.
Millers and wholesalers continue to blame different factors for the sugar price hike. Retailers say millers are not making deliveries despite the ongoing crushing season. However, the Pakistan Sugar Mills Association counters this claim and links the surge to the closure of FBR’s sales-tracking portal. They also blame restrictions on inter-provincial movement and government-appointed dealers.
The PSMA argues that the government pushed mills to sell imported sugar first, which limited the supply of local sweetener. They say the FBR portal shutdown in Sindh also forced the sale of imported stocks stored at Karachi Port. As a result, local sugar could not reach markets on time, pushing the sugar price higher.
In Punjab, district administrations continued to restrict sugar sales to designated dealers. These dealers then sold the commodity at inflated rates. Industry representatives insist that the sugar sector is not benefiting from the shortage and that government controls created the supply gap.
Prices may stabilise once new stocks from the crushing season arrive. However, the PSMA urges the government to lift movement restrictions so sugar can reach all provinces equally. They warn that if curbs stay in place, the sugar price problem will persist.
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Source : Daily Times
