Provincial wheat demand exceeds available PASSCO stocks as govt explores 1 million-tonne import
Punjab alone seeks 1 million tonnes while Sindh demands 220,000 tonnes from the federal reserves; wheat release price gap between KP and Punjab raises concerns over smuggling and hoarding
ISLAMABAD: The federal government is exploring the import of around 1 million tonnes of wheat after the combined requirements submitted by provinces exceeded the stocks available with the Pakistan Agricultural Storage and Services Corporation (PASSCO).
According to a statement issued on Tuesday, the decision was discussed at a high-level meeting of the Wheat Board chaired by Federal Minister for National Food Security and Research Rana Tanveer Hussain, where the country's wheat availability, distribution strategy and provincial requirements were reviewed.
The proposed import quantity has been determined on the basis of requirements submitted by the provinces and is aimed at ensuring uninterrupted wheat supplies and maintaining national food security.
The government is consulting the provinces on the import process, with Rana Tanveer Hussain stressing that all federating units would be taken into confidence, particularly on the quality specifications of imported wheat.
Read This: Wheat traders urge govt to allow private imports, reject TCP-led purchase
Last week, Rana Tanveer Hussain had said the federal government would import 1 million tonnes of wheat following requests from provinces, with the move aimed at stabilising wheat and flour prices.
Provincial demand for wheat has been rising amid concerns over domestic availability and prices. Punjab has sought 1 million tonnes of wheat from federal reserves, while Sindh has requested at least 220,000 tonnes as federal and provincial authorities seek to contain rising wheat and flour prices.
Read This: Govt decides to import one million tonnes of wheat to ease supply gap
Meanwhile, a significant difference in government wheat release prices between Khyber Pakhtunkhwa (KP) and Punjab has emerged as another concern for the grain market.
According to a Food Directorate of Khyber Pakhtunkhwa notification issued on July 27, 2026, the provincial cabinet approved the daily release of 2,000 metric tonnes of wheat to operational flour mills across KP at Rs11,200 per 100 kilograms, inclusive of bardana. This translates into Rs4,480 per 40-kilogram maund.
The decision was based on recommendations of the Cabinet Oversight Committee on Wheat made on July 17, 2026, and cited prevailing high prices and grain shortages.
In Punjab, government wheat continues to be released to flour mills at Rs3,800 per maund. This means KP mills are paying Rs680, or around 17.9%, more per maund for government wheat than their counterparts in Punjab.
The price disparity comes as wheat traders have opposed imports through the state-run Trading Corporation of Pakistan (TCP), calling instead for subsidy-free imports by the private sector in line with the government's deregulation policy.
Traders argue that allowing private-sector imports would help avoid potential losses to the national exchequer.
The Cereal Association of Pakistan (CAP) has also urged the government to keep the wheat import policy open, transparent and non-discriminatory, with equal access for all eligible importers and without restrictions or cartelisation.
The Federal Minister for National Food Security directed that the imported wheat be distributed among provinces strictly according to their respective requirements to ensure transparency, fairness and equitable allocation.
The minister reaffirmed the government's commitment to working with all federating units to maintain stable wheat supplies, protect consumers' interests and ensure timely availability across the country. He also directed relevant authorities to complete necessary arrangements in coordination with provincial governments.
Comments
No comments yet. Be the first to join the discussion!
