FAILURE OF PLANNING: “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 producers and consumers,” said Muhammad Riaz, a wheat farmer from Sheikhupura. PHOTO:FILE
ISLAMABAD:
The federal government has decided to distribute the wheat stocks available with the Pakistan Agricultural Storage and Services Corporation (Passco) to the provinces based on their requirements to ensure the supply of affordable and quality wheat to consumers.
According to sources, the decision was taken after extensive consultations between the federal government and all provinces on the availability, prices and supply of wheat. By mutual consensus, it was decided that Passco’s existing wheat stocks would be released immediately based on provincial needs.
The government also decided to urgently import one million tonnes of wheat, as the combined needs of the provinces exceed Passco’s available reserves. Imported wheat aims to meet the country’s overall demand and maintain the stability of the domestic market.
Officials of a farmers’ alliance warned on Thursday that Pakistan’s wheat crisis was worsening due to flawed agricultural policies, poor planning and administrative failures. They warned that unless immediate corrective action was taken
In a joint statement, Markazi Kisan League (MKL) Chairman Chaudhry Zulfiqar Ali Olakh and President Muhammad Ashfaq Warraich warned that unless immediate remedial measures are taken, prices of wheat and flour are likely to continue to rise, placing a greater burden on consumers.
They said the current crisis stemmed largely from the abolition of the wheat price support mechanism under the International Monetary Fund (IMF)-related reforms and the inability of provincial governments to purchase enough wheat from farmers during the current season.
They noted that Punjab had purchased only 480,000 tonnes against its target of three million tonnes, while Sindh had purchased around 200,000 tonnes, leaving national wheat reserves under severe pressure.
They said Pakistan spent more than $1 billion last year to import nearly 3.5 million tonnes of wheat, but the country still faced an estimated deficit of 3.5 million tonnes.
If the current situation persists, they warn, additional imports will become inevitable, further straining the national economy and foreign exchange reserves.
MKL leaders said the party had repeatedly warned the government months ago about the possibility of a wheat shortage, but relevant authorities failed to take action in time.
As a result, wheat prices have increased significantly over the past month. They warned that prices could reach 6,000 rupees per mound, making flour and bread increasingly unaffordable for ordinary citizens.
Punjab has requested one million tonnes from the federal government, while Sindh has requested a minimum of 220,000 tonnes from federal stocks currently available in areas of the province, officials present at the meeting told The Express PK Press Club.
The shortages, particularly in Punjab and Sindh – the country’s food baskets – are rooted in two decisions: the end of wheat support price two years ago under an IMF condition without creating a credible alternative agreement, and the failure of the two provinces to procure wheat from farmers this year.
