In a recent tender, Pakistan reportedly purchases approximately 55,000 tons of white sugar, according to traders' claims.
Pakistan to Import 500,000 Tons of Sugar to Stabilise Domestic Prices
In a bid to maintain sugar price stability and ensure market availability, the Government of Pakistan has approved a plan to import 500,000 tons of sugar [1][3][5]. The decision, supported by the federal cabinet, comes after retail sugar prices in Pakistan surged above the official price caps, and domestic production fell short of demand [1][4].
The Trading Corporation of Pakistan (TCP) has been instrumental in procuring sugar through multiple international tenders. The first tender for 200,000 tons was issued immediately after approval, followed by another for 150,000 tons [1]. On July 25, TCP issued a tender seeking 100,000 tons of white refined sugar, with bids due by July 31 [3][5].
The sugar can be sourced from multiple origins except India and Israel, reflecting geopolitical considerations and trade policies [3][5]. The government has facilitated the imports through letters of credit and an offer of reduced tax burdens [1].
However, the plan has sparked controversy. The Pakistan Sugar Mills Association argues that the country has sufficient sugar stocks through November 2025 [1]. Some critics also question the timing of the imports, pointing out that large sugar exports (750,000 tons between June 2024 and January 2025) were permitted just months before the import plan [1][2].
The economic implications of the drive to import sugar are complex. Rising retail prices, fiscal pressures from the IMF, and strained foreign exchange reserves add further pressure [4]. The high international bids for sugar ($539-$599/ton) further complicate the situation [4].
Despite the controversy and economic challenges, the TCP's recent tenders reflect staged procurement efforts to import sugar by September 2025 under favourable tax treatment. The sugar tender is ongoing, and another award for white sugar is still possible this week.
[1] The News International, "Sugar imports to stabilise prices, says minister", July 6, 2025. [2] Dawn, "Govt approves plan to import 500,000 tons of sugar", July 4, 2025. [3] Business Recorder, "TCP issues tender for 100,000 tons of white sugar", July 25, 2025. [4] The Express Tribune, "Pakistan to import 500,000 tons of sugar", July 5, 2025. [5] The Nation, "TCP to procure 55,000 metric tons of white sugar in international tender", July 29, 2025.
- The Trading Corporation of Pakistan (TCP), a key player in the finance industry, is currently procuring large amounts of sugar through international trading, aiming to stabilize the domestic market and meet rising demand.
- The ongoing sugar import plan, supported by the federal cabinet, is part of a broader business strategy aimed at mitigating price fluctuations and ensuring sugar availability in Pakistan's market.
- Critics within the finance and business sectors question the timing and logistics of the sugar imports, as they coincide with previously approved sugar exports and could potentially strain the country's foreign exchange reserves and tax revenues.
