June 10, 2008	Tuesday	Jamadi-us-Sani 05, 1429

KARACHI, June 9: Traders said on Monday that wheat import was not viable at the current international price of about $380 per metric ton C & F without government’s subsidy.

A wheat importer said that after including transport and other charges, the cost would come to about Rs28 per kg.

“If milling cost of about Rs1.5 to 2 per kg is added to this price, the atta (flour) will be available at Rs29.50 to 30 per kg,” he added.

He said that people were not willing to pay more than Rs20 per kg in the market. Who will buy atta at Rs30 a kg, he questioned.

He pointed out that some office-bearers of the Wheat Traders Association of Pakistan (WTAP) had held a meeting with the Ministry of Food and Agriculture and Livestock (Minfal) in Islamabad last week, but without any positive outcome.

Minfal is not ready to provide any subsidy to private wheat importers due to scarcity of funds as well as pressure from international donors. They have flatly refused the possibility of any subsidy, he added.

He said that at the current prices, private sector importers needed to get a subsidy of at least $100 to 150 per metric ton to make imports viable.

The TCP had floated two tenders last month for supply of wheat from international sources to meet the domestic demand.

The WTAP had urged the governments two weeks ago to pay a subsidy in US dollars or equivalent Pak rupees on import of wheat by the private sector to make it financially viable.—APP