Wheat price surge puts Rs128/kg flour rate under pressure

Shafaqna Pakistan: Flour mill owners in Umerkot district have rejected the administration’s fixed flour price of Rs128 per kilogram, saying rising wheat costs have pushed their production expenses to around Rs140 per kilogram, making the official rate financially unviable.

The millers have submitted written applications to the Mirpurkhas commissioner and Umerkot deputy commissioner, calling for a fresh review of flour prices, an end to what they described as unlawful action by local authorities and an investigation into alleged irregularities involving food inspectors.

According to the mill owners, wheat is currently selling for as much as Rs125 per kilogram in the open market. Once milling and other operating expenses are added, the cost of producing flour rises to about Rs140 per kilogram, they said, leaving mills unable to sell at the notified rate of Rs128 without suffering losses.

The millers also protested against raids and seizures carried out by assistant commissioners in Umerkot, Kunri, Samaro and Pithoro, calling for an end to what they described as excessive enforcement measures.

They claimed that under government policy, flour mill owners are permitted to keep 850 bags of wheat per stone at their mills or in their warehouses. Despite this, they alleged, local assistant commissioners had been conducting raids on flour mills and owners’ warehouses and seizing wheat stocks.

The millers described the actions as unjustified and contrary to the applicable policy.

They called on Sindh Chief Minister, the provincial food secretary, Mirpurkhas commissioner and other senior authorities to review and revise the flour price in line with prevailing wheat and production costs.

They also demanded that local administrations be stopped from taking what they described as unlawful action against flour mills and that alleged corruption by food inspectors be investigated.

The mill owners warned that continued enforcement of an economically unviable flour price, coupled with what they termed excessive administrative action, was placing the district’s flour milling sector under severe financial pressure.

Source: Express Tribune

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