The provinces have requested more than 2.2 million metric tons of wheat from the federal government to curb rising flour prices and ensure adequate supplies, prompting Islamabad to move ahead with plans to import nearly 1 million metric tons through the Trading Corporation of Pakistan (TCP).
The request was reviewed at a meeting of the Federal Wheat Board chaired by Federal Minister for National Food Security Rana Tanveer Hussain. The meeting focused on provincial wheat requirements and agreed on the framework for importing wheat to address supply shortages.
Punjab sought 1 million metric tons of wheat, Sindh requested 720,000 metric tons, Khyber Pakhtunkhwa asked for 425,000 metric tons, and Balochistan sought 57,500 metric tons, taking the combined demand to more than 2.2 million metric tons.
The meeting decided that provincial governments will issue back to back letters of credit to finance imported wheat. It was also agreed that any payment shortfall would be recovered from the provinces’ share under the National Finance Commission (NFC) Award.
According to the Pakistan Bureau of Statistics, the average retail price of flour has risen 74 percent over the past year to Rs. 129 per kilogram, while prices have reached Rs. 150 per kilogram in Peshawar.
Officials said Punjab’s demand could be met through Pakistan Agricultural Storage and Services Corporation (PASSCO) stocks, imported wheat, or a combination of both. Sindh has opted to receive 500,000 metric tons of imported wheat and 220,000 metric tons from PASSCO reserves.
The Federal Wheat Board rejected requests from private sector representatives to allow commercial wheat imports and remove restrictions on interprovincial wheat movement, deciding instead that provincial requirements will be met exclusively through wheat imported by the TCP.
The Ministry of National Food Security will finalize the import plan and financing arrangements before seeking approval from the Economic Coordination Committee (ECC), after which the government will begin the wheat import process.
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