Mills announce one rupee increase in sugar prices
PSMA has announced an increase of one rupee in sugar prices following a hike of ten rupees in prices of the sweetener.
KARACHI:
The Pakistan Sugar Mills Association (PSMA) has announced an increase of one rupee in sugar prices following a hike of ten rupees in prices of the sweetener sold at utility stores.
“We have decided to increase ex-factory sugar prices by just one rupee from Rs61 to Rs62 and after including tax the price comes to about Rs64,” Chairman PSMA Iskandar Khan told The Express Tribune.
However, Khan stressed that the increase will not be effective immediately as current stocks in retail markets have already been provided by mills at the old rate. He said that retailers charging Rs70 or more on sugar should be apprehended, adding “it is the government’s responsibility to check cartelisation or hoarding by suppliers and retailers alike.”
Sugar millers say that they have about 15 per cent of their total stocks remaining and reiterated that these are enough to fulfill demand till the end of September.
Khan stressed “there is an abundance of sugar with the mills right now and we are providing regular supplies to all markets.”
A ministerial committee had recommended on Monday an increase of Rs10 per kg in prices of sugar at utility stores and a final decision will be taken by the Economic Coordination Committee of the cabinet.
Meanwhile, various rates are being charged for sugar in retail markets ahead of Ramazan. “Wholesale prices went up in the past week from Rs63.80 to Rs64.50,” General Secretary Karachi Retail Grocers Association Fareed Qureshi said.
However, he said that shopkeepers are charging between Rs67 and Rs69 depending on demand-supply balance. “We are expecting another increase of one or two rupees after the current rise of one rupee,” he added.
The increase in sugar prices is expected to impact retail rates of a wide assortment of food items in coming days. Bakeries and mithai (sweet) shops are the businesses that use a high quantity of sugar in their products.
Experts say food prices generally trend higher in Ramazan and this year is no exception. The latest hike in sugar prices is expected to reflect in retail markets immediately, despite the fact that stocks already sold by sugar mills were delivered at the previous rate.
Published in The Express Tribune, July 28th, 2010.
The Pakistan Sugar Mills Association (PSMA) has announced an increase of one rupee in sugar prices following a hike of ten rupees in prices of the sweetener sold at utility stores.
“We have decided to increase ex-factory sugar prices by just one rupee from Rs61 to Rs62 and after including tax the price comes to about Rs64,” Chairman PSMA Iskandar Khan told The Express Tribune.
However, Khan stressed that the increase will not be effective immediately as current stocks in retail markets have already been provided by mills at the old rate. He said that retailers charging Rs70 or more on sugar should be apprehended, adding “it is the government’s responsibility to check cartelisation or hoarding by suppliers and retailers alike.”
Sugar millers say that they have about 15 per cent of their total stocks remaining and reiterated that these are enough to fulfill demand till the end of September.
Khan stressed “there is an abundance of sugar with the mills right now and we are providing regular supplies to all markets.”
A ministerial committee had recommended on Monday an increase of Rs10 per kg in prices of sugar at utility stores and a final decision will be taken by the Economic Coordination Committee of the cabinet.
Meanwhile, various rates are being charged for sugar in retail markets ahead of Ramazan. “Wholesale prices went up in the past week from Rs63.80 to Rs64.50,” General Secretary Karachi Retail Grocers Association Fareed Qureshi said.
However, he said that shopkeepers are charging between Rs67 and Rs69 depending on demand-supply balance. “We are expecting another increase of one or two rupees after the current rise of one rupee,” he added.
The increase in sugar prices is expected to impact retail rates of a wide assortment of food items in coming days. Bakeries and mithai (sweet) shops are the businesses that use a high quantity of sugar in their products.
Experts say food prices generally trend higher in Ramazan and this year is no exception. The latest hike in sugar prices is expected to reflect in retail markets immediately, despite the fact that stocks already sold by sugar mills were delivered at the previous rate.
Published in The Express Tribune, July 28th, 2010.