Private sector rejects govt wheat import plan

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Wheat production rose by 4.3pc to 29.61m tonnes in FY26 from 28.40m tonnes in FY25, according to the Economic Survey 2025-26.—AFP/file
Wheat production rose by 4.3pc to 29.61m tonnes in FY26 from 28.40m tonnes in FY25, according to the Economic Survey 2025-26.—AFP/file

KARACHI: Private sector importers have expres­sed concern over reports that the government is rev­iewing a proposal to import wheat through the Trading Corporation of Pakistan (TCP) rather than allowing them to do so.

While strongly opposing any such move, Cereal Association of Pakistan (CAP) Chairman Muzzamil Chappal warned that state-led imports could lead to billions of rupees in losses and undermine the country’s wheat deregulation policy.

Urging the government to allow the private sector to import two million tonnes of wheat in the first phase and a further two million tonnes in the second phase without subsidies, he said that market-based imports are more efficient and do not place any burden on the national exchequer.

The government should refrain from intervening in the wheat market and uphold its decision, announced two years ago, to fully deregulate wheat imports, he said, adding that the private sector has already demonstrated its ability to ensure uninterrupted wheat supplies without government support.

CAP seeks approval for 4m tonnes without subsidy

The private sector imported 2.7m tonnes of wheat in FY24 without any subsidies or public financing, helping maintain adequate wheat and flour supplies across the country, he recalled, claiming that the imports had significantly reduced domestic wheat prices to Rs95 per kg from Rs123.

This is an appropriate time for wheat import as the Black Sea and South America Harvest Season commences during July to August, offering highly competitive prices, he said.

Pakistan is currently holding around 450,000 tonnes of two-year-old wheat, while stocks held by the Pakistan Agricultural Storage and Services Corporation (Passco) are reportedly deteriorating in warehouses, he claimed, urging the government not to repeat past mistakes by returning to state-controlled wheat imports.

Wholesale wheat prices in Karachi are currently hovering around Rs116-120 per kg, and could rise to Rs125 per kg if imports are delayed. However, allowing the private sector to import wheat in line with international market trends could bring prices down to Rs95-100 per kg, he said.

Pakistani consumers had witnessed a steep rise in flour prices despite the arrival of local crops in March-April.

Sindh Food Minister Ma­­khdoom Mehboob uz Zam­an on Friday chaired a high-level meeting with a delegation of the Flour Mills Association to review the prevailing wheat and flour situation, market prices, supply chain, and measures to ensure the uninterrupted availability of affordable flour across Sindh.

While directing flour millers to maintain flour prices at the lowest possible level and continue ensuring uninterrupted supplies, he said the provincial government has intensified verified and intelligence-based operations against wheat hoarders, illegal profiteers and unauthorised traders.

According to a press release, he said the Food Department currently possesses 446,947 tonnes of wheat stocks, comprising 140,000 tonnes of carryover stock, 81,812 tonnes procured this season and 225,135 tonnes recovered during anti-hoarding operations.

There is no restriction on the inter-district movement of wheat within Sindh, allowing uninterrupted transportation and smooth supply across the province, he said.

Published in Dawn, July 25th, 2026

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