Sugar prices to go down – Trade Minister
The minister of trade, industry and cooperatives, has met with sugar distributors in Kampala to discuss the recent hike in sugar prices.
The retail price of sugar, which was at an average of Shs3,500 per kilogramme mid this year now costs between Shs3,800 and Shs4,500 and the wholesale price of 50-kilograme bags of sugar ranges between Shs172,000 and Shs175,000.
Amelia Kyambadde decried the gradual increase of sugar prices over the past couple of months as she blamed hoarders and speculators for creating artificial shortages, which have led to the increase in prices.
However, the sugar distributors have refuted claims that they are hoarding and have instead blamed the shortage of sugar on the market to a reduction in production by the manufacturer.
“Increased regional demands for sugar and low production have pushed Uganda’s sugar price up because we export 25 per cent of our sugar to countries such as Kenya, Congo, Rwanda, and South Sudan,” Mr Kabeho said.
Mr Kabeho said high commodity prices of every item such as Matooke, together with the depreciation of the Shilling against the dollar are the other factors contributing to the surge in sugar prices.