Govt backtracks on raising sugar price

The industries ministry has backtracked from its decision to hike the prices of sugar produced by state-run sugar mills.

The government has changed the decision considering the suffering of people, the minister said in a statement today.

The announcement came hours after Bangladesh Sugar and Food Industries Corporation (BSFIC), which runs state sugar mills, increased the retail price of its sweetener by 14 percent to a historic high of Tk 160 each kilogramme.

At present, people in Dhaka city buy sugar at Tk 135-Tk 140 per kg in the retail market, price data compiled by the Trading Corporation of Bangladesh showed.

The corporation said it had increased the price in line with the rates of sugar in both domestic and international markets. 

The BSFIC produced nearly 11,000 tonnes of sugar between July and December of the current financial year of 2023-24, up 20 percent from 9,066 tonnes a year ago.

The corporation said it will sell sugar at previous rate of Tk 140 per kg.