KARACHI: Already struggling to survive under unprecedented food inflation, Sindh millers on Thursday multiplied consumers’ plight by further increasing the flour prices as well as suspending supplies.

Pakistan Flour Mills Association Sindh Zone Chairman Amir Abdullah explaining the reasons for this extreme step told a press conference that the Sindh Food Department had been supplying poor quality wheat in insufficient quantities and forcing millers to provide flour at low rates to the consumers.

He said the food department was also using other pressure tactics and sealing mills in Karachi and interior Sindh on alleged hoarding charges.

“We would not tolerate this kind of treatment and decided to close milling operations across the province in protest,” announced Mr Amir, adding that 92 mills in Karachi had stopped producing flour from Wednesday night besides suspending the supply of flour, maida, fine flour and bran in the markets. Gate sale of flour varieties at the mills was also suspended.

He said there might be little flour stock in the shops and consumers would feel a flour shortage soon.

He said no mill should lift/accept wheat from government godowns while no new wheat challan would be collected from the Food Department Office. No mill staff would be sent to any government godown or Food Dept Office.

Two weeks back, flour mills, while refusing to sell the commodity at the government-agreed ex-mill rate of Rs 95 per kilo, had increased the price of flour No.2.5 to Rs105 per kg.

“We have further raised the rate of flour No.2.5 to Rs 130 per kg due to a lukewarm response from the government,” PFMA Sindh Chief said, adding that the Association had asked the Sindh food department to renegotiate the ex-mill price.

Due to the lack of any response, millers had pushed up the rate, blaming inadequate supply for the increase in prices.

Mills in Karachi got only 127,000 tonnes of wheat as against the agreed quota of 200,000 tonnes for February. The open market rate of wheat has also surged to Rs 11,500 from Rs 10,500 per 100 kg bag in the last two weeks, he said.

The Sindh government raised the wheat rate to Rs 8,500 per 100kg bag from Rs 5,825 when a low-price flour bag of Rs650 per 10kg was launched in September 2022.

General Secretary Karachi Retail Grocers Group (KRGG), Farid Qureishi said “the markets will have flour stocks for the next three days. Law and order situation and wheat bag snatching will start in case the issues between the government and flour mills linger on. The issue should be settled immediately.”

Mills sealed

According to a handout issued by the Sindh government on Thursday, on the directives of the Chief Secretary Sindh, officers of the food department and assistant commissioners of respective sub-divisions conducted raids at various flour mills of Karachi and Shaheed Benazirabad region on account of hoarding government wheat stocks, non-grinding and selling atta at higher prices in violation of notified ex-mill prices.

Several flour mills have been sealed which include Adil Flour Mills, Farhan Flour Mills, Hamza Flour Mills, Hyderi Flour Mills, Qalandari Flour Mills and Indus Flour Mills etc.

Published in Dawn, March 3rd, 2023

Follow Dawn Business on Twitter, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Editorial

Geopolitical games
Updated 18 Dec, 2024

Geopolitical games

While Assad may be gone — and not many are mourning the end of his brutal rule — Syria’s future does not look promising.
Polio’s toll
18 Dec, 2024

Polio’s toll

MONDAY’s attacks on polio workers in Karak and Bannu that martyred Constable Irfanullah and wounded two ...
Development expenditure
18 Dec, 2024

Development expenditure

PAKISTAN’S infrastructure development woes are wide and deep. The country must annually spend at least 10pc of its...
Risky slope
Updated 17 Dec, 2024

Risky slope

Inflation likely to see an upward trajectory once high base effect tapers off.
Digital ID bill
Updated 17 Dec, 2024

Digital ID bill

Without privacy safeguards, a centralised digital ID system could be misused for surveillance.
Dangerous revisionism
Updated 17 Dec, 2024

Dangerous revisionism

When hatemongers call for digging up every mosque to see what lies beneath, there is a darker agenda driving matters.