The government has reportedly purchased sugar from sugar mills at inflated rates, Rs79 to Rs83 per kilogram.

According to the sources, the Utility Stores Corporation has paid an extra amount of Rs1.41 billion this time compared to the last tender amount for sugar purchase. The amount paid to sugar mills this time is Rs870 million higher than the ex-factory sugar rate decided by the Ministry of Industrial Production.

Sources said the amount paid this time was Rs550 million higher than the ex-factory price set by the sugar mill owners. The price of sugar purchased this time is Rs12 to Rs16 per kilogram higher than the sugar purchased through the last tender. According to the ex-factory price set by the Ministry of Industrial Production, the price of sugar is higher by Rs7 to Rs11 per kilogram this time.

Sources say the sugar purchased this time is more expensive by Rs4 to Rs8 per kilogram if the price is compared to the ex-factory price set by the sugar mill owners. According to the Ministry of Industrial Production, the ex-factory price of sugar is Rs72 per kilogram. According to the sugar mill owners, the ex-factory price of sugar is Rs75 per kilogram. In the last tender, the Utility Stores Corporation purchased sugar at the rate of Rs67 per kilogram.