ISLAMABAD, May 20: The Islamabad Flour Mills Association has urged the Punjab government to lift the restriction on supply of wheat which, it said, would reduce atta prices by Rs30 per 20kg bag.

The demand was made in a meeting with the officials of the Islamabad Chambers of Commerce and Industry (ICCI) on Thursday. They demanded of the Punjab government to restore the supply of wheat at normal level.

They complained about the provincial government's wheat policy whereby it has banned inter-district movement of wheat. This has led to the shortage of atta in Islamabad and Rawalpindi, they added.

The flour mills representatives pointed out that both the cities were deficit areas and had been depending on the provincial food department to issue wheat permits to the flour mills. These permits have been discontinued.

The flour mills have been trying to purchase wheat directly from the farmers at prices higher than those offered by the government, but these stocks are being held up by the government during transit to their destinations.

It was also brought to the notice of the Islamabad Chambers of Commerce and Industry that the State Bank of Pakistan had instructed commercial banks to require the flour mills to provide 50 per cent cash margin before any loan was sanctioned.