ISLAMABAD: The district administration of Islamabad has set the retail price of sugar in the federal capital at Rs 172 per kilogram, according to media reports.
The Deputy Commissioner of Islamabad has ordered all the assistant commissioners to strictly measure the rates of sugar in the city and ensure compliance with the given rates.
Legal consequences shall be faced by the shopkeepers violating the rates, and the DC has also directed to start a crackdown on the overcharging price of sugar.
The DC urged the citizen to report the violations to the district administration and help enforce the decision.
The development occurred as the sugar shortage worsened in Rawalpindi and Islamabad.
Despite government assurances, sugar has gone from Rawalpindi’s marketplaces. Both wholesale and retail stores are apparently out of stock.
Sugar was priced between Rs190 and Rs200 per kilogram in retail marketplaces, whereas a 50-kg bag may cost up to Rs9,300 in wholesale.
Sugar imports reduced:
Earlier, amidst fiscal tightening, the Trading Corporation of Pakistan reduced sugar imports by revising tax incentives.
TCP has reduced its sugar import target, issuing a fresh tender to purchase just 50,000 metric tonnes, a huge cut from its earlier plan to import 300,000 metric tonnes.
The revision is part of a broader review of Pakistan’s sugar import strategy. Initially, the federal government planned to import 500,000 metric tonnes of sugar, of which 300,000 tonnes would be handled by TCP and the remaining 200,000 tonnes through private sector channels.
In the revised tender, TCP invited bids from international suppliers and dealers, with a deadline of July 22, 2025.
The decision comes amid warnings from the International Monetary Fund (IMF), which has expressed concern over proposed tax subsidies for sugar imports. The IMF said such financial concessions could undermine Pakistan’s $7 billion loan program, putting pressure on authorities to adjust their policy to ensure compliance with the fund’s guidelines.
In response, the government is not only reducing import volumes but also examining the possibility of withdrawing tax exemptions granted to private sugar importers.
The move reflects growing fiscal prudence as Pakistan works to meet the conditions attached to the IMF bailout while balancing domestic market demand and inflationary pressures.
