Ministry of Agriculture comments on what will happen to sugar prices

According to Sultanov, demand for sugar traditionally increases in summer due to the home canning season.

“The rise in prices for granulated sugar in certain regions is linked to the seasonal period, when people start making various compotes, jams and so on,” the vice minister said.

At the same time, the Ministry of Agriculture does not expect a further significant increase in prices.

Sultanov noted that a good sugar beet harvest is expected this year. Three sugar plants processing domestic raw materials are currently operating in the country. In addition, sugar beet processing is planned to be launched at the Taraz sugar plant.

The vice minister also recalled that part of the sugar is produced from imported raw sugar supplied from Latin American countries. At the same time, a significant share of finished sugar is still imported from Russia.

“Akimat warehouses have sugar reserves. In the event of price volatility, these reserves will be released onto the market, which will help contain price growth. There is no need to fear a shortage. As of today, warehouses have a three-month supply of sugar,” Sultanov said.

Answering a question about the sharp rise in sugar prices within one week, the vice minister explained that the reasons may differ depending on the region.

“Each region has wholesale suppliers. In some places, there may be supply issues; in others, issues with sugar imports. There may also have been a surge in consumption by industrial producers, such as beverage and confectionery manufacturers, and so on,” he explained.

In the summer of 2022, Kazakhstan faced a sugar shortage and a sharp rise in prices. At that time, restrictions were introduced on the amount of sugar that could be sold to one person, while the government took measures to stabilize the market and increase domestic production.

Later, Kazakhstan repeatedly stated the need to reduce dependence on imported sugar and increase the processing of domestic sugar beet. The modernization of existing sugar plants and an increase in the production of domestic raw materials were named among the key tasks.