Heat the vegetable oil in a skillet over medium heat. Sprinkle in the flour and whisk constantly until the mixture turns light brown and smells nutty, about 2-3 minutes.

Slowly whisk in the low-sodium chicken broth until smooth. Stir in the diced tomatoes with their juice, then add sugar, salt, garlic powder, and pepper.

Allow the mixture to simmer over medium heat, stirring frequently, until the gravy thickens to your liking, about 5 minutes. If it becomes too thick, add a splash or two more of broth to thin it.

Remove from heat and serve hot over biscuits, grits, or your choice of side.