Passco may export surplus wheat

Published November 17, 2002

ISLAMABAD, Nov 16: The government is likely to allow Passco to export surplus wheat till the end of the current month, said a senior official on Saturday.

The decision was expected to be taken in a meeting of Wheat Disposal Committee scheduled for Monday.

According to the official, Sindh food department had sent a request to the federal government seeking permission to export 100,000 tons of surplus wheat.

The committee had earlier allowed Passco to export surplus wheat laying with the Punjab food department till November 15.

The wheat committee would be presided over by Privatization Minister Altaf Saleem, which was to be attended among others by senior officials from the ministries of finance, commerce and agriculture.

Pakistan has exported 1.7 million tons of wheat till November 15, 2002, said the official.

Elaborating agenda of the meeting the official said the committee would consider the proposal of Sindh food department either to allow it to export the wheat or not.

The committee would also analyse the prevailing condition that in case of maximum export, how the domestic prices would be controlled. It would work out measures how to increase the Pakistani wheat export prices in view of global drought condition in major wheat exporting countries — US, Canada and Australia.

The current wheat export price at CBOT (Chicago Board of Trade) stands at $145 fob. Pakistan has been able to export 1.4 million tons of wheat since June 2001, to various destination, including Afghanistan, UAE, Kenya, Iraq, Malaysia and Egypt. However, the Pakistani wheat fetched export price of an average $108 fob Karachi, said the official.