Flour prices likely to surge after wheat scarcity

Shortage has severely damaged supply to mills

LAHORE:

Wheat prices in the open market have soared once again, fuelling fears of a sharp increase in flour prices across the country, it emerged on Friday.

Pakistan Flour Mills Association (PFMA) Chairman Asim Raza said, “Several small mills are closed for days due to shortage of wheat.”

He said the food department should make efforts to pave way to allow flour mills to buy wheat from all over Punjab.

The price of wheat in Punjab's open market has reached Rs2,000 per 100kg after a hike of Rs200. According to details obtained by The Express Tribune, the shortage of wheat has also severely damaged the supply to flour mills in proportion to the demand for flour, leading to further surge in the price.

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In Lahore, wheat is being sold at Rs1,950 per 100kg, pushing up the price of 20kg flour bag to Rs1,080. In Rawalpindi, the 100kg bag of wheat currently stands at Rs2,050 while the price of 20kg flour bag has swelled to Rs1,100, which is expected to increase further.

In Hyderabad, flour is being sold at Rs65 per kg despite the efforts of the district administration to control the prices and fix the price at Rs60 per kg. The mill owners in the district have hinted that if the wheat prices continue to rise in the open market, they will have to increase the price of flour.

The price of tandoori bread was increased to Rs15 a month and a half ago.