October 17, 2012

 

Pakistan's wheat supply at ease for current year 

 

 

For this current year, Pakistan's wheat supply is at ease with all time record production of 25.21 million tonnes in 2010-11 and estimated crop at 23.52 million tonnes for the year 2011-12.

 

A statement of Agriculture Policy Institute (API) of the Ministry of National Food Security and Research issued here on Tuesday (Oct.16) said that, during the current year, the public sector wheat stocks were 9.30 million tonnes including current procurement of 5.79 million tonnes and last year carry-over stocks of 3.51 million tonnes.

 

The public sector on the average annually relapses 6.5 million tonnes to flour mills and other Agencies/Areas and maintaining the Strategic Reserve of one million tonnes, the country is left with 1.80 million tonnes surplus, the statement said.

 

It added that the country is quite comfortable in wheat supply during the current year and in view of sound supply position, the government has allowed the private sector to export wheat and its products.

 

The API statement said that it is reported that the private traders have exported wheat and its products from the open market in recent months in the wake of rising prices in the world market.

 

Major portion of these exports comes from wheat flour, accruing value addition receipts to the economy. The API statement further said that wheat is not only the major staple food grain but also the food security crop of Pakistan. Being a very sensitive commodity, a small change in its price and availability has a considerable impact on consumers, especially the poor sections of the community.

 

Hence the Government is much concerned with its supply and demand situation so as to ensure the availability of this basic food security item for the masses. During the current year, the public sector wheat stocks were 9.30 million tonnes including current procurement of 5.79 million tonnes and last year's carry-over stocks of 3.51 million tonnes.

 

Thus the country is quite comfortable in wheat supply during the current year. In view of sound supply position, the government has allowed the private sector to export wheat and its products. It is reported that the private traders have exported wheat and its products from the open market in recent months in the wake of rising prices in the world market.

 

Major portion of these exports comes from wheat flour, accruing value addition receipts to the economy. The Government has also opened releases of wheat to the flour mills w.e.f September 1, 2012 to help stabilise the domestic market.

 

The release price is being regularly monitored by the provincial food departments and is adjusted in line with the emerging domestic and world situation to ensure ample supply of the staple food grain for the sake of food security at home.

 

It is reported by the provincial food departments that the releases are slow this year as compared to last year indicating some stocks of wheat are available with the private sector.

 

"This will further add in improving the supply position of wheat", the API said.