PM instructs for regular reports on sugar crisis

CAIRO - 12 December 2023: In response to the severe sugar crisis Egypt has been facing in recent weeks, Prime Minister Mostafa Madbouly has instructed governors to intensify their market control efforts and closely monitor commodity prices.

The prime minister emphasized the importance of regular reports on sugar prices, particularly following the Ministry of Supply's recent interventions to distribute thousands of tons of sugar across various governorates.

Addressing the concerns of the public, Prime Minister Madbouly highlighted the ongoing efforts of regulatory bodies to combat monopolistic practices and restore price stability.

As part of these efforts, the Ministry of Supply has decided to release 240,000 tonnes of sugar into the market this month, aiming to mitigate the supply gap and regulate sugar prices. This initiative comes as a continuation of the government's previous endeavors to restore stability in the market.

The sugar crisis has been characterized by soaring prices, with the cost of sugar reaching almost EGP 50 per kilogram. The situation has been further exacerbated by the hoarding practices employed by both vendors and food and beverage companies.

In order to address the situation, the Ministry of Supply has implemented several measures to stabilize sugar prices. These measures include a ban on sugar exports, restrictions on suppliers selling to traders, the reintroduction of sugar to ration cards, and the encouragement of businesses to lower their prices.

Furthermore, discussions have taken place regarding the potential implementation of price controls, as suggested earlier this month by Supply Minister Ali El Moselhy. These measures are being considered as a means to curb the ongoing volatility experienced in the market.