Sugar shortages hit major cities as price stays around Rs190

ISLAMABAD: Pakistan’s sugar crisis worsened on Monday as markets in Lahore and Islamabad reported severe shortages, while prices in Karachi, Peshawar and Quetta surged to as high as Rs190 per kilogram, defying official price caps.

Amid the escalating crisis, Federal Minister for National Food Security and Research Rana Tanveer Hussain chaired a high-level meeting with the Pakistan Sugar Mills Association (PSMA) and provincial stakeholders, warning of “strict oversight” of mill stocks.

On July 22, the minister had issued a stern warning after reports emerged that several mills were not only overcharging but have also halted market supply of the sweetener. Despite this, the situation did not improve. Notably, on July 14, the PSMA and the Ministry Of National Food Security inked the agreement to ensure ex-mill supplies at Rs165/kg from July 15 to August 15 (for first month), then with an addition of Rs2/kg every successive month till October 15.

While chairing the meeting, minister said, “The government is committed to maintaining price stability and ensuring adequate sugar supply in the market. Any negligence or violation of agreements will not be tolerated. At the same time, we will work closely with the industry to resolve their legitimate concerns in a timely manner,” Hussain said. The meeting was told that several mills were not following agreed frameworks for the release and supply of sugar, despite assurances. In response, the minister ordered officials to be deputed at every sugar mill to monitor stocks and ensure uninterrupted market supply. To address industry concerns, Hussain directed the formation of a grievance redressal committee and the creation of a WhatsApp group for real-time coordination between government officials and mill owners.

Notably, official rates, fixed at Rs165 per kg ex-mill and Rs173 retail, have largely been ignored nationwide. Wholesale prices are ranging between Rs174 and Rs178, while retail rates hover between Rs180 and Rs190.

Reports from Lahore and Islamabad show sugar vanishing from shelves, forcing consumers to visit multiple shops in search of supplies, fueling concerns about hoarding and stockpiling. The ministry reiterated its commitment to transparent stock management, price stabilization and protection of both consumer and producer interests.