Former Finance Minister and economist Miftah Ismail on Thursday aimed at the federal government of allowing electricity and sugar prices to spiral and accused it of prioritizing profits rather than public welfare.
He spoke at a press conference in Karachi and said the current administration had enabled sugar factory owners to take advantage of export permits, while everyday Pakistanis wore brown of skyrocketing prices.
“Six months ago, the government allowed exports of 5 to 6 million tonnes of sugar, so Sindh and Punjab’s sugar factory owners can get dollars and relief,” he said.
In a comparison with previous decisions, Ismail Pakistan Muslim League-Nawaz (PML-N) recalled its previous criticism of sugar exports during former Prime Minister Imran Khan. “I ask Shehbaz Sharif Sahab who affected your decision to export sugar?” he asked, highlighting the political hypocrisy.
“Because you had promised – when sugar was RS80 to RS90 – that you don’t let it exceed RS140,” he added. “Exports started when sugar was on RS115 – now it was on RS175.”
He also questioned the logic behind the recent decisions on political decisions: “Pakistani people should know, why is sugar expensive, why are you cutting solar energy bills and why do you make people’s electricity expensive?”
Despite several attempts from the government to maintain retail prices at RS130 per year. Kg, Sugar now sells for over RS180 in many markets, which is trosing the rates set by the prime minister. The Competition Commission in Pakistan (CCP) has also entered, warned sugar factories of consequences for pricing manipulation.
Meanwhile, sugar consumption continues to rise is expected to hit 6.7 million tonnes by 2024-25, driven by population growth and demand from the food industry. Pakistan produced more than 6.84 million tonnes last season, with further expected growth.
Ismail also criticized the country’s high electricity parlors and argued that they are discouraging investors. “Bangladesh, India, Sri Lanka, Indonesia, Thailand, Cambodia, South Africa, Kenya – these are just some of the countries that may have surpassed us and when investments do not come in Pakistan, it goes to these countries,” he said.
“However, Pakistan’s electricity prices were more expensive than these countries,” he noted. “So what is so special about your electricity that you sell it at such an expensive speed? What is so special about your gas that you sell it at such an expensive rate?”
He ended with a pointed jab by the government’s financial direction: “There is no reason except for the fact that your policies are not successful, full of U-swing and are based on greed.”
