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Despite the rising prices, Pakistan's love for sugar remains unshakable | Business and Economics


Islamabad, Pakistan – When Ayesha Khan, the mother of four, bought food for her family this week, sugar was high on her shopping list.

A few kilometers in the corridors of power, the government and bureaucrats of Pakistan were trying to make a repair of the rising sugar prices. But for Khan, buying sugar was a necessity.

“It has been almost 20 days since the start of Ramadan and this will be the third time I buy a five-kilogram of sugar bag for family,” Khan, who is at his 30s, told Al Jazeera, while shopping at the Islamabad market, visited mainly by mid-range customers.

“What can I say? We all have a sweet tooth and we love our sweet tea and Rooh Afza!she added, laughing, referring to Pink drink.

General inflation in the country has been tested down in the last year, with inflation collapsed from 23.06 percent in February 2024 to 1.5 percent in February this year. This happened after inflation reached a record height of 38 percent in May 2023.

However, in the last few months the price of sugar has increased by nearly 22 percent, rising from 140 rupees per kilogram ($ 0.50) in January to 171 rupees per kilogram ($ 0.61) in the second week of March, according to the Pakistan Statistics Bureau.

Interactive_Pakistan-Inflation-March20_2025_Q1
(Al Jazeera)

But in the markets of Islamabad, many customers said that an increase in sugar prices is just a pinch, not a blow, to their portfolios, adding that the stability of the prices of other key goods such as milk, wheat and rice helps them balance their budgets.

27-year-old Mohammed Sheh Zadza bought Jalebie-Southern Asian South Asian dessert made from universal flour and soaked in hot sugar syrup.

He said that while Ramadan usually brought a slight increase in the prices of almost every goods, things were worse in previous years.

“We like to add sugar to our tea and desserts, of course, but since our total costs are under control, the increase in sugar prices has not harmed us too much,” he told Al Jazeera while making an order for three pounds of Jalebi, sold for 650 rupees ($ 2.32) per kilogram, for his house.

Ramadan, with its daily rituals of Suhoor and Iftar – The preceding and after the election dishes, respectively, often brings a slightly greater consumption of various foods.

Wajid Mehmood, manager of Sweets Shikarpuri, the dessert store from which Shehzad bought Jalebi, said that as the total price of the entrance increased due to the rates of sugar prices, it was mainly affected by profit margins.

“We buy about 10 to 12 bags a day, each weighing 50 kg, for our six branches. One bag currently costs us 8,500 rupees ($ 30). Before Ramadan, it costs us 7,800 rupees ($ 27) per bag,” he said.

Interactive_Pakistan-Inflation-March20_2025-One Year Inflation
(Al Jazeera)

Mehmood, however, said that store owners decided not to pass the increased costs of customers during Ramadan.

“Maybe the price will be increased a little in ID,” he said, citing the festive period, which follows the month of post.

For some, such as Mohammed Zahid, a sales sales salesman who has ruled his roadside stall over the last 32 years, pricing depends on a combination of factors, including an increase in sugar and fruits, such as apples, bananas and oranges. During Ramadan he has no clients during the day.

“With Ramadan, my sugar requirements have naturally dropped, so my daily use is between two to three pounds, it costs me 165 rupees ($ 0.59) per kilogram these days,” he said as he cuts fruit.

Unlike the manager at the Sweets store, Zahid said the price of a glass of juice was hesitant depending on his total entry costs – he cannot afford to buffer the customer from changes in prices.

“If you want a glass of banana juice, it will cost you 150 rupees ($ 0.54), as both sugar and bananas are expensive right now,” he said. “But if you come after Ramadan, the price can drop to 130 rupees per glass.”

Increasing prices, according to him, is partly because wholesalers accumulate sugar to earn at a time when they know that most users will buy it for their dishes and Iftar and dry. He said he was expecting to ignite after ID.

A charity group workers called "Alkhidmat Foundation Pakistan" Prepare sugars and other foods to be distributed free of charge among needy people for the upcoming Muslim fasting month in Ramadan, in Islamabad, Pakistan, Sunday, April 11, 2021. Ramadan begins with the New Moon, as Muslims around the world are trying to maintain a lot of how to maintain how to maintain a lot of management how to handle many of them to deal with many rows. (AP Photo/Anjum Naveed)
The price of sugar in Pakistan observes a jump as the price has increased by 20 percent in the last three months (file: Anjum Naveed/AP Photo)

The government, for its part, said it would try to limit sugar prices and ensure that stocks do not use the situation.

Deputy Minister -Chairman Ishak Dar said earlier this week that the government would guarantee that the price of sugar does not exceed 164 rupees (0.59) per kilogram.

The gradual increase in sugar prices is charged with stocks that purchased large amounts of sugar earlier when prices varied between $ 140 ($ 0.50) and 150 rupees ($ 0.54) per kilogram.

The total production of sugar in Pakistan for the current financial year, which will end in July 2025, is predicted at 6.8 million tonnes, while the consumption is expected to be about 6.7 million tonnes.

Mohammed Rashid, the owner of grocery stores in Islamabad, said his store is currently selling sugar at 168 rupees (0.60) per kilogram, an increase of 16 rupees ($ 0.06) compared to Ramadan.

Accusing the “artificial shortage” of the market, Rashid said there was a slight reduction in sugar sales.

“We sold nearly 16 to 18 bags of 50 kg a day. But with Ramadan and the increased price, our sales dropped to approximately 12 to 14 bags a day,” he told Al Jazeera.

Meanwhile, Perves Kiran, who has been running his grocery store in Karachi over the last three decades, said, despite the price increase, sugar consumption is unlikely to be significantly affected.

“This is a perishable object, unlike milk, vegetables or fruits, so it helps. Second, people here just love sugar, even if it kills them. Our daily sales range between 80 and 100 kg per day and they remain the same, whether we sell sugar at $ 150 ($ 0.54) The phone of 150 rupees ($ 0.54) per kilogram or 170 rupees ($ 0.61) per kilogram, “he says to Al Jazeera ($ 0.61) per kilogram,” he says to Al Jazeera ($ 0.61) per kilogram, “he says to Al Jazeera ($ 0.61) per kilogram.

Ahir skirt, a hostess from Karachi and a mother of five, agreed that for her family, the consumption of sugar remains constant, despite prices fluctuations.

“Our family loves desserts, and during Ramadan we make juices and beverages that require sugar. But our monthly purchase remains approximately the same, between seven to 10 kg, as during the Irrhasan months, we often make desserts,” she told Al Jazeera.

Back to Islamabad, a khan, who is a native of the Charsoad in the northwestern province of Hiber Pahtunva, explains how her family's obsession rises during Ramadan.

She said her husband, a factory manager on the outskirts of Islamabad, gives her approximately 50,000 rupees ($ 178) for grocery every month, but during Ramadan he increased the sum to 70,000 rupees ($ 250).

“We are currently building a little extension in our house, so much of our money goes there. But during Ramadan we have a pause construction due to additional costs. We will wait for the month to end before resuming construction, but we will not stop buying sugar,” she said.

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