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Flour crisis in NWFP resurfaces
Source: The News E-Mail this News Story to a friend E-Mail this Story
Category: General News
Publication Date: 5/7/2008
News URL: http://www.thenews.com.pk/top_story_detail.asp?Id=14551
Flour crisis in NWFP resurfacesPESHAWAR: The flour crisis on Tuesday resurfaced in the NWFP three days after the Punjab tightened curbs on purchase and movement of the commodity to the province.

The flourmills in the province are also facing an imminent closure after the provincial government reduced their wheat quota from 5,500 to 3,000 tonnes. Market sources told 'The News' that the flour prices shot up in the local market after the Punjab government suspended quota to mills, which led to a new surge in the prices of wheat in the Punjab. They said just two days ago, the price of 100-kg wheat bag in the Punjab was Rs 1,775 but on Tuesday it was being sold at Rs 2,000, which resulted in flour price hike in the market here.

The sources said the Punjab government tightened curbs on the movement of wheat and the price of the flour hiked by Rs 50 while the transporters had also raised their charges from Rs 45 to Rs 53 for 20-kg bag.

The Punjab government's measures resulted in price rise of the varieties of flour. The 20-kg bag of the 'Sada' quality of flour, which came down to Rs 410 two days ago, was selling for Rs 460 on Tuesday. The price of 20-kg bag of fine quality flour also shot up to Rs 570 from its earlier price of Rs 530.

The 85-kg gunny bag of fine flour, which was selling for Rs 2,200, was also being sold at Rs 2,800. It was also observed that the prices of various qualities of rice also rose in the new scenario and the 49-kg bag of 'Sela Karnal' was being sold for Rs 4,800 in place of its two days old price of Rs 4,000.

When contacted, chairman of the Wholesale and Grain Dealers Association, NWFP, Haji Rambel Khan said only four trucks arrived from the Punjab. Before the crisis, normally 200 trucks were unloaded every day in the local market at Ram Pura Gate, Ashraf Road.

Chairman of the All Pakistan Flourmills Association Naeem Butt told 'The News' that it was the stubbornness of the Punjab government and the failure of the NWFP set-up that had led to the resurgence of the flour crisis.

He said wheat godowns in the Punjab were filled to the capacity, but the Pakistan Muslim League-Nawaz led regime had imposed "unconstitutional" ban on the purchase of the commodity. He said the flourmills, the NWFP government and dealers had been barred from buying wheat from the growers in the Punjab which was lamentable.

He alleged the Punjab had imposed a ban on the purchase of wheat for its benefit, which was the property of the local growers, and the flourmills and other provinces had the constitutional right to buy the commodity from them.

Butt said flourmills in the NWFP were facing closure as the provincial government had reduced their daily quota from 5,500 tonnes to 2,500 tonnes while the daily demand of the province was 10,000 tonnes.

He said the Awami National Party-led provincial set-up had failed to pursue the Punjab government to lift the ban on the purchase and movement of the wheat and flour. He said it was the prime responsibility of the provincial government to take up the case with the Punjab at the highest level promptly and resolve the issue. Over 250 flourmills would shut down in the province if the chief minister did not take interest in the issue.

Butt also took a strong exception to the imposition of Section 144 in various parts of the province and said the police personnel were fetching huge financial benefits out of it. He said the dealers and millers bringing flour and wheat from the Punjab were facing harsh treatment by the local police, which had made it impossible for the dealers to arrange the vital commodity.

The government should beef up anti-smuggling measures at borders instead of imposing restrictions in settled areas, he suggested. He asked both the Punjab and the NWFP to do away with the curbs on inter-provincial and inter-district movement and procurement of the wheat and flour so that the poor people could get cheap and sufficient quantity of the vital staple.

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