Pakistan’s sugar crisis has intensified, with retail prices soaring past Rs200 per kilogram in major cities, exacerbating the financial burden on households already grappling with inflation. The sharp increase follows the government’s contentious decision to permit sugar exports earlier this year, only to now issue tenders for imports—a policy U-turn that critics say reflects poor planning and has fueled market instability.
Prices Spiral Out of Control
According to the Pakistan Bureau of Statistics (PBS), sugar prices have climbed for six straight weeks, with a Rs3.52/kg hike recorded in the last week alone. Karachi, Islamabad, and Rawalpindi are among the hardest-hit areas, where sugar now sells for over Rs200/kg. Other cities are not far behind:
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Rs192/kg in Lahore and Sialkot
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Rs195/kg in Larkana
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Rs190/kg in Gujranwala, Multan, Peshawar, and Hyderabad
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Rs188/kg in Quetta and Khuzdar
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Rs180/kg in Sukkur
Broader Inflationary Pressures
Sugar is not the only essential item becoming unaffordable. PBS data shows that 19 key food items saw price hikes last week, including:
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Broiler chicken: Up by Rs78.32
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Tomatoes: Up by Rs10.56
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Garlic: Up by Rs8.44
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Milk, yogurt, potatoes, and onions also recorded increases
Government’s Import Move Faces Criticism
In response to the crisis, the federal government has allowed private-sector imports of 500,000 tonnes of sugar, with the first tender already issued. Officials claim this will stabilize prices, but economists and civil society groups have slammed the policy as “too little, too late.”
Critics argue that the export-import flip-flop has created a “golden opportunity for profiteers,” allowing middlemen to exploit supply gaps. Had the government acted earlier to restrict exports and bolster reserves, the current crisis could have been mitigated.
Calls for Immediate Intervention
Experts warn that without strict price controls, anti-hoarding measures, and crackdowns on profiteering, the situation could worsen, further straining household budgets. With inflation already eroding purchasing power, the government faces mounting pressure to stabilize the market and prevent further shocks to food security.