The arrival of new wheat crop continues in full swing with traders buying grain for Rs1,200 to Rs1,220 per 40kg.

Wheat buyers especially chakki owners anticipate that prices of staple food would increase further when government’s crop procurement picks up to meet its procurement target of 1.3 million tonnes.

Price of wheat flour hovers around Rs42-43 per kilogram. Chakki owners would increase price of flour once they become dependent on supplies of wheat from open market for a few months as the provincial food department starts issuing them their quota of wheat in September.

“Currently, we are buying 100kg wheat bag for Rs2,900-3,000 as farmers find it easy to sell their crop in open market to avoid the hassle involved in food department’s cumbersome procurement procedure. Secondly, it appears that the required number of procurement centres are not established”, said a representative of chakki owners association Mohammad Hanif Rajput.

By the end of May he sees flour price at around Rs45 per kg considering the price of wheat bag bought from open market and the quality of grain. “Since crop quality is linked with supplies of irrigation water, the price of best quality of wheat remains a little expensive”, he adds.

Sindh is set to have a good wheat harvest this year as it has exceeded sowing target by 20,000 hectares. The provincial agriculture department had set a sowing target of 11,00,000 hectares but final sowing figures indicate crop was cultivated on 11,20,000 hectares this season. Agriculture officials claim that they are getting positive reports of a healthy wheat crop with better per acre yield in early harvesting areas of Mirpurkhas, Umerkot and Badin districts. Harvesting is now in full swing as farmers start preparing for cultivation of major Kharif crops like rice and cotton.

This season’s wheat production target is set at four million tones which, officials are quite hopeful, would be achieved. In last season, wheat production dropped by 2.26pc. Against the target of 3,682,000 tonnes, 3,598,690 tonnes of grain was produced. Per hectare yield also dropped by 4.79pc, according to official figures.

Such losses were attributed to climatic changes including hailstorm that affected crop at maturing stage although cultivated area had increased by 2.66pc. Government kept support price of wheat unchanged at Rs1200 for this season.

Farmers, usually, remain reluctant to sell their crop to food department’s procurement centres as it is difficult for them to get gunny bags even after depositing around Rs140 per bag with food department. According to growers like Nadeem Shah, they sell their crop in open market even losing Rs10-Rs20 on per 40kg per bag but getting timely payments. Food department officials are often blamed for supplying gunny bags to traders on personal considerations.

“Food department couldn’t meet procurement target last year because farmers avoided selling their crop to it. I don’t think that they will meet it this year’s target”, says Nabi Bux Sathio, general secretary, Sindh Chamber of Agriculture (SCA).

The farmers want support price to be increased in view of increased inputs’ prices and rising cost of production. They argue that the government is not able to ensure availability of inputs at its own fixed prices. Secondly, withdrawal of subsidy on farm inputs is making things difficult for farmers.

“We told government representatives that before fixing prices of crop, all economic factors relating to our region should be given serious consideration. Since India is subsidising its agriculture sector, our counterparts are comfortable in producing different commodities. Resultantly, they are in a better position to compete in international market while we remain at losing end”, argues Abdul Majeed Nizamani, president Sindh Abadgar Board. He says that demand of Rs1,400 support price is justified.

The inter-provincial movement of wheat crop is said to have been banned by Sindh government. However, an undeclared ban on movement of wheat from one district to other is being reported.