Pakistan’s sugar exports to Afghanistan witnessed an extraordinary increase of 3473% in the first half of FY 2024-25, as reported by national media.
According to a report by ARY News on Wednesday, this surge positioned sugar as the largest contributor to Pakistan’s exports to Afghanistan, with export values skyrocketing from $5.9 million in 2023 to $211.8 million between July and December 2024.
Overall, Pakistan’s exports to Afghanistan grew by 52%, reaching $753.8 million in the first six months of FY 2024-25 compared to $495.2 million during the same period in the previous fiscal year.
In December 2024 alone, exports rose by 103% year-over-year (YoY) and 36% month-over-month (MoM), with total sales of $175.1 million, up from $86 million in December 2023 and $129 million in November 2024.
The federal cabinet’s October 2024 decision to approve the export of an additional 500,000 metric tons of sugar was a key driver of this growth. To maintain price stability and ensure domestic supply, the cabinet imposed conditions, including fixing the retail sugar price at Rs145.15 per kilogram and mandating strict price monitoring.
The cabinet warned that exports would be halted if sugar prices exceeded the set benchmark. The Sugar Advisory Board, along with provincial governments, actively monitors market prices, while mill owners must keep the ex-mill price below Rs140 per kilogram.
The State Bank of Pakistan is tasked with providing the Economic Coordination Committee with updates on sugar exports every 15 days. Since June 2024, a total of 750,000 tons of sugar has been approved for export.
