KARACHI, July 9: The wholesale prices of 100 kg sugar bag rose by Rs100 per bag to Rs2,130-2,150 on Tuesday as compared to Rs2,040-2,050 per 100 kg a few days earlier.

Sugar prices have been under pressure for over last one week after the government’s green signal to export ‘surplus stock.’

An immediate follow-up of this signal was that some retailers in various localities started charging Rs23 per kg at retail level as compared to Rs22 per kg. Market watchers fear a spurt in sugar prices in other places if wholesale prices remain under pressure.

Wholesalers and retailers did not give exact reason of the rising sugar prices but some of them blamed the piling up by millers so that the price could go up at wholesale levels.

Sugar millers have planned to export around 200,000 tons of sugar following surplus sugar production. Millers now want to clear the glut so that the prices could improve in the markets.

With about 200,000 tons surplus sugar stocks available, a few sugar millers have managed to fetch orders of 10,000 to 20,000 tons from the war-torn Afghanistan.

Market sources said that sugar producers have already finalized a deal with Afghan traders for export of 10,000 tons at the rate of $270 per ton, while another deal of same quantity is expected to be signed later this month.