KARACHI: In the absence of any effective price control mechanism, millers on Friday pushed up flour prices once again.

The latest hike comes only a day after Prime Minister Imran Khan directed that all required administrative measures be undertaken to ensure flour is available at low rates.

Retailers in various areas are demanding Rs370 for five kg branded fine flour and Rs720 for 10 kg bags which were available for Rs340-350 and Rs680 a few days back. Flour No.2.5 price has been raised by Rs5 to Rs65 per kg.

Office bearers of the Pakistan Flour Mills Association (PFMA) Sindh Chap­ter were not ready to share anything on price volatility. Most of them did not pick up the phone despite repeated attempts by Dawn for their comments on the situation.

A miller, who asked not to be named, said he cannot share price movement in flour varieties as every mill is acting on its own due to very slow supply of wheat from the Sindh government. “As a result, millers are bound to lift wheat from the open market. This kind of situation has given a free hand to the retailers to charge prices as per the area,” he added.

The miller said each factory would get 10,000 bags of 100 kg wheat this month as compared to an average 15,300 bags in January. The mills at least need an average 25,000 wheat bags a month to keep flour supplies smooth, he stressed.

When asked about the wheat stocks held by the Sindh government, he said the provincial government had procured 1.235 million tonnes from the growers last year but it is hard to tell how much grain has been left with the provincial food department.

Retailer said flour mills have hinted at another price hike in five kg and 10 kg bags to Rs390-400 and Rs740 in the coming days.

The increase in flour prices appears surprising in the backdrop of massive wheat imports by the public and private sector as well as the availability of local crop which arrived in the market in March and April last year.

Published in Dawn, February 6th, 2021