ISLAMABAD, July 28: The Pakistan Flour Mills Association (PFMA) has demanded of the government to withdraw the 15 per cent regulatory duty on export of wheat flour to Afghanistan. The association made this demand among others in a meeting with Adviser to the Prime Minister on Finance Dr Salman Shah here on Thursday.

Addressing a press conference at the Islamabad Chambers of Commerce and Industry, PFMA Chairman Abdul Ali Kakar said Pakistan was losing its market in Afghanistan because of regulatory duty. “China and Central Asian states are exporting duty-free flour to Afghanistan,” he pointed out. In reply to a query, Mr Kakar said there was no shortage of wheat flour in the country. He said the adviser in the meeting with the PFMA representatives said that the government was determined to take all necessary steps to liberalize the import of wheat and flour by the private sector, including flour mills.

Mr Shah told the delegation that the government had introduced a liberal import regime and now wheat and flour could be imported by the private sector, including flour mills, from anywhere. However, the adviser pointed out that the government would maintain the strategic reserves of wheat in order to bring down the prices of flour and ensure its smooth supply to the markets both in Pakistan and Afghanistan.

The PFMA representatives said that they had raised various issues with the adviser, including quarantine inspection/testing of imported wheat in Pakistan, despite a pre-shipment inspection at the country of origin, and increased wheat supplies to the flour mills in all the four provinces at a uniform rate and without any subsidy element. The association assured that they would run flour mills with full capacity to meet the requirement of the people and bring down prices.