Sugar prices have seen a sharp rise in recent days amid a growing conflict between sugar mill owners and the Central Grocery Association. In Lahore’s open market, sugar rates have jumped from Rs164 to Rs175 per kilogram, adding to the financial strain on everyday consumers.
The President of the Central Grocery Association has openly accused sugar mill owners and certain bureaucratic elements of fueling the crisis. He pointed out that sugar was priced at Rs125 per kg in February, but prices surged drastically after the government permitted exports. He alleged that the export decision was made despite a lack of surplus stock, benefiting only select groups.
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He further stated that mill owners are unfairly blaming grocers for the hike, whereas the real authority over pricing and reserves lies with the mills themselves.
This spike in sugar prices is also being driven by increased seasonal demand during summer, as sugar is widely used in chilled beverages.
In response to the crisis, Deputy Prime Minister Ishaq Dar has directed that sugar prices be reduced. While chairing a meeting in Islamabad, he instructed members of the Sugar Mills Association to lower the ex-mill price from Rs164 per kg to a range between Rs154 and Rs159. The association assured him of their full cooperation.
