PLANNING FAILURE: “We sold our wheat because we had no choice. Now the same wheat is becoming expensive in the market while farmers have already absorbed the losses. Better planning could have protected both growers and consumers,” said Muhammad Riaz, a wheat farmer from Sheikhupura. PHOTO: FILE
ISLAMABAD:
The federal government has decided to release wheat stocks available with the Pakistan Agricultural Storage and Services Corporation (Passco) to the provinces in accordance with their demands to ensure the supply of affordable and quality wheat to the consumers.
According to sources, the decision was taken after detailed consultations between the federal government and all provinces on wheat availability, prices and supply. By mutual consensus, it was decided that Passco’s existing wheat stocks would be immediately released in accordance with the needs of the provinces.
The government also decided to import one million tonnes of wheat on an urgent basis as the total requirements of the provinces exceed the available reserves of Passco. The imported wheat aims to meet the country’s total demand and maintain stability in the domestic market.
Officials from a farmers’ alliance warned on Thursday that Pakistan’s wheat crisis was worsening due to flawed agricultural policies, weak planning and administrative errors. They warned that unless immediate corrective measures are
In a joint statement, Markazi Kisan League (MKL) Chairman Chaudhry Zulfiqar Ali Olakh and President Muhammad Ashfaq Warraich warned that unless immediate corrective measures were taken, prices of wheat and flour are likely to rise further, putting a greater burden on consumers.
They said the current crisis largely stemmed from the abolition of the support price mechanism for wheat under International Monetary Fund (IMF)-related reforms and the failure of provincial governments to procure enough wheat from farmers in the current season.
They noted that Punjab procured only 480,000 tonnes against its target of three million tonnes, while Sindh bought about 200,000 tonnes, leaving national wheat reserves under severe pressure.
They stated that Pakistan spent more than $1 billion last year importing nearly 3.5 million tons of wheat, but the country still faces an estimated shortage of 3.5 million tons.
If the current situation continues, they warned, further imports will become inevitable, putting further pressure on the national economy and foreign exchange reserves.
The MKL leaders said the party had repeatedly warned the government months ago about the possibility of wheat shortage, but the relevant authorities failed to take timely action.
As a result, wheat prices have risen significantly over the past month. They warned that prices could rise to Rs6,000 per mound, making flour and bread increasingly unaffordable for ordinary citizens.
Punjab has demanded one million tonnes from the federal government, while Sindh has asked for a minimum of 220,000 tonnes from federal stocks currently available in godowns in the province, officials who attended the meeting told The Express Pakinomist.
The shortage, particularly in Punjab and Sindh – the country’s food basket – is rooted in two decisions: ending the support price for wheat two years ago under an IMF conditionality without creating a credible alternative arrangement, and the inability of both provinces to procure wheat from farmers this year.
