Pakistan Sugar Mills Association (Punjab Zone) stated that baseless rumors are being spread by speculators having vested interests linked with price hike of sugar.
A PSMA-PZ spokesman has denied news reports in certain sections of media that price of sugar has increased. The spokesman categorically said that the ex-mill sugar prices have not exceeded the government’s declared limit of Rs. 140 per kg set by the Economic Coordination Committee (ECC) meeting on 13th June, 2024 although which was way below cost of production of sugar. Notwithstanding the benchmark of maintaining ex-mill price of Rs. 140 per kg, as a pre-condition for allowing exports of surplus sugar, was agreed by sugar industry under duress of sugar glut, for liquidating surplus stocks and for minimizing losses.
After government gave sugar export permission in June 2024, the ex-mill and retail prices of sugar have decreased. During this period few price corrections took place based on interplay of market forces but remained within declared parameters. As reported by respective representatives of Punjab, Sindh and KP governments, in meeting on 13th December, 2024 with Federal Government, retail prices of sugar as of 12th December, 2024 are upto Rs. 130 per kg in different parts of the country.
