Bangladesh’s sugar imports have nearly doubled in the past fiscal year, thanks to a dramatic drop in global prices, while the government’s reduced tariffs have ensured sufficient supply in the local market and driven prices down.
The amount of refined sugar imported through the Chattogram port in the 2024–25 fiscal year increased by 96 per cent, from 136,980 tons in 2023–24 to 268,380 tons in the 2024–25 fiscal year.
The International Sugar Organization reports that sugar is currently being sold for 16.68 cents per pound in the global market, down from over 22 cents just 11 months ago.
This dramatic drop in the bulk market is an unforeseen fall that is dragging retail prices down, according to Mohammad Shahid, Joint General Secretary of the Chattogram Dealers Association.
“I’ve been in this business since 2008, and I’ve never seen such a sharp drop in international sugar prices,” said Mohammad Shahid, a leading sugar trader. “Currently, sugar mills in the country have about 50,000 tons in stock, and production has increased. With the surplus supply, prices are continuing to fall.”
The government’s reduction of tariffs has further boosted sugar imports, making it cheaper for businesses to bring in sugar, which has ultimately lowered prices for consumers. The National Board of Revenue (NBR) recently halved the regulatory duty on refined and raw sugar, bringing it down to 15%, making it more affordable for importers and retailers.
The impact is particularly visible in Chattogram’s largest wholesale market, Khatunganj, where sugar is now being sold for Tk 3,520 per maund (37.3 kg), down from Tk 3,580 a month ago. The price per kilogram now stands at Tk 94.31, compared to Tk 95.92.
“Consumers are benefiting from this price drop,” said Mohammad Ifran, the owner of Khatunganj trader Haji & Sons. “We’re selling sugar for Tk 100 per kilogram in the open market, and it’s Tk 97 per kilogram when sold by the sack.”
Retailers report that sugar is being sold for Tk 110-115 per kilogram in the open market, down from over Tk 120 previously.
Major sugar importers and distributors in the country include Meghna Sugar Refinery, S Alam Refined Sugar Industries, Deshbandhu Sugar Mills, Abdul Monem Sugar Refinery, Pran Dairy, Transcom Beverages, Akij Food and Beverages, and LB Group. Smaller companies have also taken advantage of the lower global prices to import sugar.
A significant portion of the imported sugar has come from Brazil, the world’s largest sugar exporter, which accounts for 52% of global sugar exports.
With the market showing no signs of immediate disruption, sugar prices in Bangladesh are expected to remain stable, benefiting both importers and consumers.