Pakistan to Condition Sugar Exports on Domestic Price Stability

Islamabad, The Pakistani government is taking measures to link the export of surplus sugar to the stabilization of sugar prices within the country, a move aimed at safeguarding domestic supplies and controlling food inflation. The decision was made during a meeting of the Sugar Advisory Board (SAB), chaired by the Federal Minister for Industries and Production, Rana Tanveer Hussain.

According to Press Information Department, the meeting also included the Federal Minister for Commerce Jam Kamal Khan, Federal Secretary for Industries and Production, Mr. Waseem Ajmal Chaudhry, along with other high-ranking officials, representatives from provinces, and members of the Pakistan Sugar Mills Association (PSMA). The primary focus was on reviewing the overall stock position of sugar from the 2023-24 crushing season and discussing a proposal from the Pakistan Sugar Manufacturing Association to export surplus sugar.

Minister Rana Tanveer Hussain emphasized the government’s priority to first meet the local demand for sugar before considering exports as a means to earn foreign reserves. He noted that any increase in sugar prices has a direct and substantial impact on the public, particularly low-income segments.

The meeting concluded with an agreement to establish a mechanism to ensure price stability of sugar in the domestic market before moving forward with exporting any surplus. This will involve gathering authenticated data on available sugar stocks, including projections from beet sugar production, and seeking recommendations from provinces regarding potential exports.

The SAB plans to reconvene in a subsequent meeting to review this data and finalize decisions on sugar exports to prevent any adverse impacts on domestic prices and broader food inflation. This approach reflects a careful balance between maximizing economic benefits from exports and ensuring the affordability of essential commodities for Pakistani consumers.