NEW DELHI, May 17: Private Indian firms will seek government approval to import wheat from Pakistan overland to cut costs, a top industry official said on Thursday. Pakistan has 500,000 tons of surplus wheat and traders from India may buy the entire quantity if both countries allow trade through a border post close to the Indian city of Amritsar and Lahore, trade sources say.
“We are going to see officials of the commerce ministry to press for our demand to import wheat from Pakistan through the Wagah border,” Prem Gupta, president of the Roller Flour Millers Federation of India, told Reuters in an interview.
Indian traders have so far imported 2,500 tons of wheat from Pakistan, the grain arriving last month at the southern port of Tuticorin for $232 a ton on a cost and freight basis.
“Wheat prices are at around $22.79 per 100 kg.
If we import through Wagah, it will cost not more than 900,” Gupta said.
The South Asian neighbours and arch-rivals have opened several transport links in recent years as ties improve.“Pakistan grows wheat mainly in Punjab so it makes sense to import through Wagah in the north,” Gupta said. “If buses can ferry people from India to Pakistan or the other way round, why can’t they allow commodities to be traded via the physical border?”—Reuters
