Pakistan, July 13 -- Pakistan's sugar price spiral has reached another critical point. Over the past year, retail prices have risen by nearly 40 per cent, touching Rs200 per kilogram in major markets. The government's decision to allow imports has brought little relief. Despite shipments arriving, average prices remain above Rs188.

Earlier this year, authorities approved the export of approximately 760,000 tonnes of sugar, based on industry declarations of surplus supply. Mill owners earned an estimated $411 million in export revenues. At the time, industry representatives assured the government that domestic prices would remain stable. Instead, prices surged.

In response, the state has now authorised the import of 500,000 tonnes, at an...