Rs287 Billion Sugar Scam Shocks PAC: Prices Soar Above Rs200/kg

Islamabad – July 29, 2025: In a startling revelation, the Public Accounts Committee (PAC) of the National Assembly was informed that Rs287 billion were allegedly embezzled through the sale of sugar at exorbitant prices across the country.

The committee session, chaired by PTI MNA Junaid Akbar Khan, raised serious concerns over the concentration of power within the sugar industry. It was disclosed that 42 individuals own 80 sugar mills nationwide — a fact that triggered sharp criticism from the committee members who questioned the lack of competition and issuance of licenses to other stakeholders.

Sugar Prices Exceeding Rs200/kg
PAC members, including MNAs from various constituencies, claimed that sugar was being sold at over Rs200 per kilogram, despite official claims. The National Food Security secretary reported the average market price to be Rs173 per kilogram, but the committee refused to accept the figures, citing ground realities that contradicted the data.

Sugar Industry Monopoly & Lack of Regulation
PTI leader Omar Ayub Khan called for public disclosure of sugar mill owners’ names, emphasizing the need for greater transparency in the sector. The Secretary of Industries and Production responded by pointing out that each province has its own pricing regulations, and provincial governments are responsible for setting sugar rates.

He also noted the establishment of a Sugar Price Monitoring Advisory Board, and stated that the sugar crushing season runs from November 15 to March 15 annually.

Sugar Export & Stockpile Status
In the past 10 years, the Economic Coordination Committee (ECC) approved the export of 5.09 million tonnes of sugar, of which 3.927 million tonnes were actually exported, according to the secretary. He added that current sugar reserves are sufficient until November, but the government is considering imports to manage the supply and stabilize prices.

Flood Campaign Fund Discrepancy
In a separate but related briefing, audit officials revealed that a supplementary grant of Rs1.950 billion was given to the Press Information Department (PID) for running a flood awareness campaign. However, records showed that only Rs150 million were actually spent on the declared purpose.

The Ministry of Information and Broadcasting secretary disagreed, claiming the amount was not exclusively allocated for the flood campaign.

Employee Salary Concerns
During the proceedings, MNA Shazia Marri also raised an important issue, stating that employees under the PTI government had not received salaries for several months and called for an investigation.

The PAC session highlighted a range of critical governance failures — from market manipulation in the sugar industry to misuse of public funds. Lawmakers urged immediate reforms and transparency to restore public trust and protect citizens from economic exploitation.