Govt okays import of 0.5m tonnes of sugar months after allowing exports

• Government approves import of 500,000 tonnes of sugar.
• Govt scrambling to stabilise the market with imports.
• Ample stocks are available to meet demand, says PSMA.

ISLAMABAD: In a stunning reversal that has sparked fresh criticism of the government’s sugar policy, the Sugar Advisory Board — headed by Federal Minister for National Food Security Rana Tanveer Hussain — on Monday approved the import of 500,000 tonnes of sugar, just months after allowing 750,000 tonnes in exports from June 2024 to January 2025.

The move comes amid soaring domestic prices and market instability — ironically fueled, in part, by the very export approvals granted earlier. Now, with sugar prices pinching consumers and triggering inflation across food products, the government is scrambling to stabilise the market with imports that critics say could have been avoided.

Minister Rana Tanveer Hussain said: "Disruption in the supply chain and non-compliance by mill owners have created volatility and contributed to price hikes.

The increased price of sugar is not only affecting households directly but is also impacting the cost of a wide range of food items across the board, placing an additional burden on ordinary citizens."

However, the timing of the import approval has raised questions. Analysts and consumer advocates argue that the government’s short-sighted policy — first allowing exports despite looming supply constraints — has now forced it to reverse course at the cost of public funds and consumer trust.

The minister, however, said that to address the situation, the ministry has decided to implement strict monitoring and enforcement mechanisms in coordination with provincial governments.

“These efforts are aimed at ensuring transparency in sugar distribution, preventing hoarding, and curbing profiteering practices that harm consumer interests,” he maintained.

The minister announced that all formalities regarding the import would be completed within the next few days, after which the imported sugar would be available in the domestic market.

But critics warn that repeated policy flip-flops have only encouraged speculative behavior in the sugar market. “This isn’t market management — it’s mismanagement,” they say.

When contacted, the spokesman for the Pakistan Sugar Mills Association  (PSMA) said: "Ample stocks of sugar are available to meet the country’s demand till November 21, 2025, and there is no need to import sugar."

He added that if the government wanted, then the sugar industry would start the next crushing season 2025-26 from November 1, 2025.

As per the latest official data, the sugar average price was Rs180.9 per kg at the week ending June 19, increasing by nearly Rs4 in a week. Last year, in the same week, its price was Rs143 per kg. In the open retail market, in some areas, it is nearing Rs200 per kg.

Originally published in The News