Economics

Pakistan Rejects Sugar Shortage Claims, Confirms Surplus

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On July 31, 2025, Federal Minister for National Food Security and Research Rana Tanveer Hussain firmly dismissed claims of a sugar shortage in Pakistan, asserting that the country holds a surplus of 1.3 million metric tonnes. Speaking at a press conference in Islamabad, he attributed rising prices to market manipulation and vowed strict action against hoarders, as reported by the Associated Press of Pakistan (APP).

Hussain clarified that Pakistan’s sugar production for the 2024-25 season reached 6.8 million metric tonnes, with an opening stock of 800,000 metric tonnes, against an annual domestic consumption of 6.3 million metric tonnes, leaving a substantial surplus, per Nation.com.pk. He explained that the Sugar Advisory Board (SAB), comprising federal and provincial representatives, approved controlled exports to prevent a supply glut that could harm farmers and millers. “The export decision did not cause shortages or price hikes,” he stated, noting a price drop from Rs138 to Rs119 per kilogram after exports began in October 2024, according to Minute Mirror.

Despite reports of sugar retailing at Rs200 per kilogram in cities like Lahore and Karachi, Hussain maintained that the government-set price is Rs173 per kilogram, with ex-mill prices at Rs165. He accused hoarders and profiteers of creating an artificial crisis, a sentiment echoed on X by users like @DialoguePak, who praised the government’s crackdown. The minister highlighted enforcement measures targeting retailers and mill owners to ensure compliance, as reported by The Express Tribune. He also noted that Pakistan’s sugar prices align with regional markets, such as India’s Rs150 per kilogram wholesale rate.

Hussain addressed concerns about export-import policies, emphasizing that sugar trade follows a decade-long pattern, per Arab News. The government’s recent import approval of 500,000 tonnes aims to stabilize prices further, according to Profit by Pakistan Today. This firm stance underscores Pakistan’s commitment to maintaining affordable sugar supplies while tackling market distortions through robust oversight and enforcement.

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