World no.21 Ghosal outplayed Shorbagy in the second and third game to take the lead before running out of steam to go down 5-11 11-4 11-1 5-11 7-11 in a match played yesterday night.
The Kolkata-based pro had suffered a similar five-game loss to then world number one Gregory Gaultier at the El Gouna International in Egypt last April.
Expressing his disappointment, Ghosal tweeted: "I lost 3-2...Was 2-1 up. I'm sad beyond words. Almost beat the World No.1 but it's killing me I didn't. So disappointed".