Sugar prices in Lahore’s open market have increased following the Punjab government’s decision to impose a sugar cess, adding further pressure on consumers already facing rising food costs.
Sugar Prices Increase by Rs. 10 Per Kg
After the latest hike, sugar is now being sold at Rs. 160 per kilogram in Lahore, reflecting an increase of Rs. 10 per kg. Market sources claim that the fair price should have been around Rs. 150 per kg, but retail rates have exceeded expectations.
Meanwhile, the price of a 50-kg sugar bag has jumped to Rs. 7,500, while the ex-mill rate stands at Rs. 135 per kg, highlighting the widening gap between mill and retail prices.
No Shortage in the Market
According to the Kiryana Merchant Association, there is no shortage of sugar in the market. Traders argue that the price increase is not due to supply issues but rather the impact of new taxation and market adjustments.
Details of the Punjab Sugar Cess
It is important to note that the Punjab government has imposed a sugar cess of Rs. 5 on every 40 kg of sugar, effective from January 1.
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Rs. 2.50 will be paid by sugar mills
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Rs. 2.50 will be borne by farmers
Officials say the tax aims to regulate the sector, but consumers fear that its burden is being passed on to the public.
Consumer Concerns Grow
With sugar being a daily-use commodity, the price hike has raised concerns among households and small businesses. Consumers are urging authorities to monitor retail prices closely and prevent unnecessary profiteering.
