Heading:
25-08-2006
Description:
The quota system for the release of wheat for more than 1,200 flour mills of the country will be abolished. The government may adopt the policy or liberal
release of wheat to the flour mills.

This proposed policy will control the price hike. It has been indicated by the experts that the price of wheat flour may come down. According to the Food
Department, total stocks of the wheat are more than 6.2 million tonnes. The Punjab Food Department has 3.9 million tonnes and the stocks with the PASSCO
are 1.2 million tonnes. The rest of the stocks are with the Sindh and NWFP governments.

The total requirement of wheat up to new crops (within seven months) is 5 million tonnes. It is because the monthly consumption of wheat in the country is
0.7 million tonnes. Several hundred thousand tonnes wheat is also with the private sector. In the international market the average price of wheat is
between $180 and 185. The freight has been increased from $35 to $50 per tonne due to the record increase in the international petroleum prices.

Due to these valid reasons, the Prime Minister Shaukat Aziz may shortly approve the amendments in the National Wheat Policy of the country.
The salient feature of the decision will be to unload the extra stocks of the wheat in the local market instead of the international market.
The government may announce the liberal releases of wheat to the flour mills instead of fixed quotas.

 
Copyright © 2006 All Rights Reserved
Site Credits: HP Soft LLC