Sugar prices up for 10th straight week, hit Rs150.43 per kg

ISLAMABAD: Sugar prices in Pakistan have surged for the 10th consecutive week, rising by Rs4.93 per kg in the past week, pushing the nationwide average to Rs150.43 per kg, the Pakistan Bureau of Statistics (PBS) reported Friday.

Since the week ending November 28, 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.

Notably, the Pakistan Democratic Movement (PDM) coalition government had previously sanctioned the export of nearly a million tonnes of sugar, leading to a surge in domestic prices. Although the government had initially set a retail price cap of Rs100 per kg, prices soon skyrocketed, reaching a record high of Rs200 per kg in August 2023. Consequently, the government had to ban sugar exports on August 10.