Pakistan’s sugar exports to Afghanistan have skyrocketed by an astounding 3473% in the first half of FY 2024-25, making sugar the top export to its neighbor. From July to December 2024, exports surged to $211.8 million, up from just $5.9 million in the same period last year.
This sharp rise has contributed significantly to Pakistan’s overall exports to Afghanistan, which have climbed 52%, reaching a total of $753.8 million. December alone saw a 103% year-on-year increase in exports, with a 36% month-on-month rise, hitting $175.1 million.
The surge in sugar exports follows a cabinet decision in October 2024 to approve the export of an additional 500,000 metric tons of surplus sugar. However, this move came with strict price controls to prevent inflation, including a retail price cap of Rs145.15 per kilogram and monitoring systems to ensure no price hikes. If the price exceeds the agreed limit, exports could be halted.
Furthermore, the Sugar Advisory Board and provincial governments are tasked with keeping prices stable, while mill owners have been instructed to maintain an ex-mill price below Rs140 per kilogram.
This remarkable export growth reflects Pakistan’s growing trade relations with Afghanistan while highlighting the government’s careful balancing act between boosting exports and ensuring domestic price stability.
NEWS DESK
PRESS UPDATE