Sugar mills across Sindh have halted sugar deliveries to Karachi since Tuesday, causing turmoil in the wholesale markets and raising fears of an imminent price increase. The disruption has left wholesalers in uncertainty, as they are unable to secure sugar at consistent prices, reported The Express Tribune.
Rauf Ibrahim, Chairman of the Wholesale Grocers Association, shared that as of Monday, the ex-mill price of sugar was Rs175 per kg, while the wholesale price stood at Rs179 per kg. However, following the supply halt, sugar is no longer available at these rates, resulting in chaos within the markets.
Ibrahim accused sugar mill owners of deliberately orchestrating an artificial sugar shortage, suggesting that mills are withholding supplies to artificially inflate prices. He further claimed that sugar mill owners are hoarding sugar with the intention of selling it at higher prices once fresh stock arrives.
“Imported sugar takes at least three weeks to reach, so there is no immediate alternative to the local supply,” Ibrahim explained. He warned that the current uncertainty in Karachi’s wholesale markets is raising the possibility of a sudden price surge.
The sugar shortage has worsened the already fragile economic situation, with both wholesalers and consumers fearing a price spike, particularly with the approach of Ramadan.
