ISLAMABAD: The government is planning to set a maximum retail price for sugar at Rs175 per kilogram, following a recent agreement with sugar mill owners that raised the ex-mill price to Rs165 per kg.

The Ministry of National Food Security and Research refuted reports claiming that recent negotiations with the Pakistan Sugar Mills Association had failed, emphasizing that productive talks led to a clear consensus.

In a statement issued Wednesday, the ministry confirmed that during a meeting led by Federal Minister Rana Tanveer Hussain, an agreement was reached to set the ex-mill sugar price at Rs165 per kg and to cap retail prices between Rs173 and Rs175 per kg.

This move comes amid ongoing efforts to stabilize a market that has seen sugar prices spike to nearly Rs200 per kg, despite previous price caps. A formal notification to enforce the retail price cap is expected shortly, pending approval from the cabinet. Provincial authorities will oversee implementation and enforcement.

This marks the government’s second attempt at market intervention within four months. In March, Deputy Prime Minister Ishaq Dar imposed a retail ceiling of Rs164 per kg, but the measure was largely ineffective, with market prices remaining above Rs180 per kg.