Timely decision on wheat import

A high-level meeting, chaired by Prime Minister Imran
Khan on Sunday, reviewed the situation of wheat avail
ability and flour prices and took important decisions to safeguard interests of the consumers including import of wheat to offset any possible shortage of the commodity in the country. There would be no quantitative restriction on import, which would be done by the private sector but the Government has removed duties on import.
It is strange that prices of wheat flour have gone up significantly and there are also reports of flour shortage in KP despite the fact that the process of wheat procurement has just concluded. No doubt, according to some reports, wheat production this year has fallen by about 40% but at the moment there is no shortage of the commodity and, therefore, phenomenon of price-hike and shortage have something to do with exploitation of the situation by vested interests and inability of the federal and provincial governments to check their activities. Ironically, another mafia is fully active at a time when the government was taking measures against sugar mafia, sending a wrong message that the measures were not being taken seriously by those who minted money through manipulation of sugar availability and now wheat supply and pricing. The government has announced policy measures like removal of inter-provincial ban on movement of wheat and abolition of check posts besides approval for import of wheat which might have somewhat salutary effect on the overall situation but it is lacking on the administrative front to take hoarders and smugglers to task. The real reason behind shortage and rising prices is boarding and smuggling with reports that Pakistani wheat and flour are smuggled freely to Afghanistan and Central Asia. We can hardly close our eyes from rampant smuggling and that too at a time when 40% less production means possibility of severe shortage after a few months. In this backdrop, the permission for import and incentives given for the purpose are timely and may help avert the crisis to become complicated but pricing would still remain an issue as prices of wheat in the international market are stated to be somewhat higher than Pakistan. One fails to understand why the prices are allowed to increase when millers are getting wheat on officially announced prices. Why Tiger Force is not reporting cases of hoarding and smuggling and why local administrations are silent spectators? Stern administrative action against sugar and wheat mafia is badly needed and this should be done immediately to protect interests of the common man. The government should also minutely analyze the factors leading to sharp reduction in wheat production and take corrective measures. This also partly speaks of inability of the authorities concerned to tackle the challenge of locust attack in a timely and effective manner.