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Less than two weeks. In just 12 days, the price of sugar has increased by Tk 10 per kg. In this situation, the Modi government has opened the way for duty-free import of sugar. And the sugar traders of Pakistan want to use that opportunity. Islamabad is eyeing India as a potential market for selling surplus sugar.

But why is the price of sugar rising? In fact, the production of sugarcane has suffered quite a bit due to the irregular monsoon this year. Apart from lower production, another problem is increasing demand at ethanol plants. In order to increase the supply of ethanol in the country, the Center has encouraged the expansion of ethanol factories in the last few years. About 30-35 percent sugarcane juice is required for ethanol production. These factories are buying sugarcane from the farmers at slightly higher prices to meet the huge demand. As a result sugarcane supply to sugar mills is low at the moment.

According to Pakistani media reports, sugar traders are pressuring the Pakistani government to look into exporting some of their surplus sugar across the border.

In this scenario, the Center on Thursday allowed duty-free import of 1 million metric tonnes of raw sugar till October 31, 2026 under the 'tariff rate quota'. The Directorate General of Foreign Trade said that this step has been taken to increase the supply of sugar in the country's market and to control the rising prices. And in this situation, there has been a sudden big change in the Indian sugar market. India has not had to import sugar for many years. For now, Pakistan wants to take advantage of this situation. According to Pakistani media reports, sugar traders are pressuring the Pakistani government to look into exporting some of their surplus sugar across the border. It is known that Pakistan has 12 lakh tons of surplus sugar. Islamabad wants to export some of this excess sugar to the Indian market.

But there is an important point. And keeping that in mind, Pakistan has not yet made any preparations to send sugar to India under the current bilateral trade agreement. Instead, the country's sugar traders are appealing to Islamabad to allow such exports. Actually sending a shipment would require necessary government approvals and an effective system or process for trade between the two countries.