Pakistan's sugar industry is under scrutiny for a Rs600 billion alleged rip-off involving price manipulation, hoarding, export subsidies, cartel-like practices, political connections, and regulatory failures. The government reportedly reached a behind-the-scenes agreement with powerful sugar mill owners, many of whom are parliament members, to increase the ex-mill sugar price from Rs159 to Rs165 per kilogram, granting the industry billions in additional profits. The Competition Commission of Pakistan identified the sugar sector as a 'multi-layered cartel' in a 2010 investigation. Meanwhile, the Federal Board of Revenue (FBR) has removed sales tax on sugar imports, a move criticized as detrimental to the public treasury by officials including Riaz Fatiana. The Public Accounts Committee has taken notice of the FBR's tax exemption notification. Critics argue that deregulating the sugar market could dismantle the cartel, align domestic prices with global levels, and restore fairness to consumers.