Ghee Prices in Pakistan – July 2025 Market Analysis

Ghee, an essential ingredient in every Pakistani kitchen, is not just a cooking mediumits a tradition. Whether used in parathas, sweets, or for tadka in lentils, ghee holds deep cultural and culinary importance. Over the last few years, however, the price of ghee in Pakistan has become a significant concern for households. In July 2025, prices continue to shift due to inflation, supply chain issues, and global economic pressures.

This blog provides a comprehensive analysis of the current ghee rates across Pakistan, reasons behind price changes, the impact on consumers and retailers, and what to expect in the coming months.

Current Ghee Prices in Pakistan July 2025

Ghee is available in several types and packaging options. Prices vary based on brand, quality, ingredients, and packaging size.

1. Branded Ghee (Per Kg)

• Low-Range Brands: Rs. 480 Rs. 510

• Mid-Tier Brands: Rs. 510 Rs. 540

• Premium Brands: Rs. 550 Rs. 580

2. Desi Ghee (Traditional)

• Unbranded Desi Ghee (Local Dairy Shops): Rs. 2,800 Rs. 3,200 per kg

• Branded Desi Ghee: Rs. 3,200 Rs. 3,500 per kg

3. Commercial Tin (1516 kg)

• Vegetable Ghee Tins: Rs. 7,800 Rs. 8,400 per tin

• Desi Ghee Tins: Rs. 45,000 Rs. 50,000 per tin

These prices can differ by city. For example, major cities like Karachi, Lahore, and Islamabad often have slightly higher prices due to demand, transportation, and packaging.

Why Ghee Prices Are Increasing

1. Rising Raw Material Costs

Ghee production depends on core ingredients like milk butter (for desi ghee) or refined vegetable oils (for vanaspati ghee). The rising cost of milk, feed, and imported oil directly increases ghee manufacturing costs.

2. Fuel and Energy Prices

From transportation to factory processing, fuel and electricity charges affect overall cost. With fuel prices high in 2025, ghee manufacturers are passing on additional production and logistics costs to consumers.

3. Packaging and Labor

The cost of plastic, tins, and printed packaging materials has also risen. Additionally, wage hikes in the food processing sector have led to a marginal increase in product prices.

4. Rupee Devaluation

Fluctuations in the value of the Pakistani Rupee against the dollar affects imported goods like palm oil. Since most vanaspati ghee is made using imported palm oil, its cost directly increases when the rupee weakens.

5. Seasonal Demand

During wedding season, Eid festivals, and other cultural events, the demand for ghee spikes. This seasonal pressure leads to brief but steep price hikes in both retail and wholesale markets.

Branded vs. Desi Ghee Price Comparison

Desi ghee, though expensive, is often considered superior in taste and health benefits. However, due to rising prices, many consumers have switched to vegetable ghee or use it in smaller quantities.

Impact on Consumers

The rising cost of ghee affects households at every level:

• Low-Income Families: Ghee becomes a luxury item; many shift to cheaper cooking oils.

• Middle-Class Households: Usage is reduced or substituted with oil in daily cooking.

• Commercial Kitchens: Restaurants and bakeries are under pressure to either increase prices or cut down on quality.

With other kitchen essentials like rice, flour, and cooking oil also becoming more expensive, the ghee price hike adds further strain to monthly food budgets.

Impact on Retailers and Wholesalers

• Retailers are seeing reduced customer demand for premium brands. Sales volumes of mid-range or small packs (250g, 500g) have increased.

• Wholesalers are stocking cautiously due to market uncertainty and changing prices.

• Packaging size preferences have shifted. Consumers are now buying in smaller units to manage costs.

Many local store owners report that desi ghee buyers are asking for smaller jars or even custom-filled quantities in polythene bags.

Government Measures and Industry Outlook

The government has been monitoring the food commodity market more closely. While no specific subsidy has been introduced for ghee, there are ongoing discussions to reduce import duties on raw materials like palm oil to keep ghee prices under control.

However, inflation and currency devaluation continue to challenge such efforts. Without direct subsidies or price caps, further increases are expected over the next few months, especially if global oil prices rise again.

Tips for Consumers

1. Buy in Bulk During Discounts: Some brands offer discounts on larger packs or during promotions.

2. Check Local Dairies: Local dairy shops may offer affordable desi ghee in loose form.

3. Mix Usage: Use a blend of ghee and cooking oil to maintain flavor while controlling cost.

4. Proper Storage: Store ghee in cool, dry places to extend its shelf life and prevent spoilage.

5. Switch Brands Wisely: Not all cheaper brands offer poor qualitysome newer regional brands offer better value for money.

Future Price Prediction

With continued inflation, unstable fuel rates, and import uncertainties, experts expect a 510% increase in ghee prices by the end of 2025. Consumers should prepare for this by planning purchases wisely, while producers may need to focus on cost optimization and packaging innovation.

Final Thoughts

The ghee price in Pakistan during July 2025 highlights a bigger challengebalancing food tradition with economic reality. While ghee remains a staple, many families are forced to limit its use or seek alternatives due to cost.

Whether it's branded vegetable ghee or rich desi ghee from a village dairy, the prices reflect global trends, local shortages, and policy decisions. As prices continue to evolve, staying informed and adopting smart purchasing habits is the best strategy for both consumers and small businesses.