Wheat panel to recommend increase in price for Rabi crop

Published March 10, 2020
The Wheat Review Committee at a meeting on Monday decided to recommend to the Economic Coordination Committee (ECC) of the cabinet to increase the minimum wheat support price to Rs1,400 per 40kg for the 2019-20 Rabi crop.  — Dawn/File
The Wheat Review Committee at a meeting on Monday decided to recommend to the Economic Coordination Committee (ECC) of the cabinet to increase the minimum wheat support price to Rs1,400 per 40kg for the 2019-20 Rabi crop. — Dawn/File

ISLAMABAD: The Wheat Review Committee at a meeting on Monday decided to recommend to the Economic Coordination Committee (ECC) of the cabinet to increase the minimum wheat support price to Rs1,400 per 40kg for the 2019-20 Rabi crop.

The government fixed Rs1,365 per 40kg the minimum support price for wheat for the last wheat season, and during the most recent wheat and flour crisis, questions were raised as to why the growers would sell their produce to the provincial governments and public sector institutions at a lower price when it is considerably higher in the open market.

Minister for National Food Security and Research Makhdoom Khusro Bakhtyar chaired the meeting. It was attended by federal and provincial secretaries, representatives of the Pakistan Flour Mills Association and Passco, wheat exporters and senior officials of the national food security and research ministry.

The committee expressed satisfaction that there was sufficient quantity of wheat stock in the country. The meeting was informed that 2.235 million tonnes of wheat is available as on March 6.

The committee recommended banning supply of wheat to poultry industry for feeding purposes to maintain a sufficient wheat stock for human consumption.

Meeting informed that sufficient quantity of commodity is stocked in the country

The meeting was informed that Sindh would start wheat procurement from March 15, whereas Punjab is expected to begin procuring the commodity in April.

The meeting recommend allowing the Khyber Pakhtunkhwa government to procure wheat from adjoining districts of Punjab. The committee asked the provinces and Passco to timely procure wheat target of 8.25 million tonnes — 1.80m tonnes by Passco, 4.50m tonnes by Punjab, 1.40m tonnes by Sindh, 0.45m tonnes by KP and 0.10m tonnes by Balochistan.

The committee also recommended that the State Bank might be asked to help flour mill owners in financial matters in terms of procurement of wheat.

In a presentation given by the meteorology department, it was informed that expected inclement weather in the end of March is likely to adversely affect the standing wheat crop, especially in central Punjab.

Mr Bakhtyar called for launching an awareness campaign so that farmers could take timely measures in this regard.

Mr Bakhtyar directed that PSQCA standardised wheat bags be used to reduce the wastage of wheat during transportation. The minister said that the government was taking measures to prevent hoarding of wheat to discourage profiteering.

The Senate Standing Committee on National Food Security and Research in a report, which was adopted by Senate on March 3, had observed that the procurement price for wheat by the public sector was not compatible with the price of wheat in the open market. The minimum support price needs to be rationalised and must be linked with the cost of production of wheat per acre with reasonable margin of profit, it recommended.

Published in Dawn, March 10th, 2020

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