Pakistan’s proposed plan to import up to 1 million metric tons of wheat has faced resistance from Punjab and other provincial governments, which appear reluctant to submit fresh demands for imported stocks.
The federal government has, in principle, agreed to import up to 1 million metric tons of wheat at an estimated cost of $340 million. However, sources say provinces are hesitant to request additional wheat beyond the supplies already available through the Pakistan Agricultural Storage and Services Corporation (PASSCO).
A review meeting on the proposed imports was held under the chairmanship of the Federal Minister for National Food Security, with representatives from the federal and provincial governments, PASSCO and the Trading Corporation of Pakistan (TCP) in attendance.
No final decision was reached regarding the quantity or mechanism for additional wheat imports.
Although provinces have reported shortages in their strategic wheat reserves, they have reportedly been reluctant to submit formal written requests for additional imported wheat. Instead, they plan to use wheat currently available in PASSCO reserves to meet immediate requirements.
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PASSCO reportedly held around 1.783 million metric tons of wheat during the first week of July.
The federal government’s proposed import plan is based largely on the demand and supply situation reported by the provinces. Meanwhile, the Economic Coordination Committee (ECC) has formed a steering committee, headed by the Deputy Prime Minister, to oversee matters related to wheat imports.
The issue remains under review as the government weighs provincial requirements against available domestic stocks and the potential cost of importing additional wheat.
The reluctance of provinces to request more wheat could influence the final quantity imported and determine whether the federal government’s 1-million-ton proposal moves forward in its current form.
