Wheat: Prices fall after govt buying ends

FAISALABAD: Wheat prices have started falling in the Faisalabad Division as the food department has stopped purchases after meeting the target for the current season, farmers say. Wheat was available at Rs750 to Rs850 per 40 kg in the open market compared to the official price of Rs950. Fine quality flour was being sold for Rs30 to Rs35 per kg compared to Rs40 to Rs50 per kg before the start of harvest earlier this season. Farmers said the food department had refused to purchase more wheat despite the Punjab chief minister’s announcement that entire quantity of the commodity would be purchased from the growers. Farmers also complained that during the purchase drive the food department also charged commission from them before releasing jute bags for packaging. Wheat procurement target crossed 3.72 million tons in four districts of Faisalabad Division against the target of 3.5 million tons.

Published in The Express Tribune, June 12th, 2011.