Wheat prices surge as hoarders manipulate market

Wheat prices in Hyderabad's open market skyrocketed on Wednesday as hoarders and profiteers, acting in collusion, increased the price of a 100-kg wheat sack by Rs2,400, pushing it up to Rs8,100.

The sudden hike triggered an immediate increase in flour prices, with a 10-kg bag now selling between Rs950 and Rs1,000 - up by Rs150-180, retailers and wholesalers told Daily Express on Wednesday.

Following the abrupt surge, flour mill owners and stone grinders unofficially halted supply, creating shortages at grocery stores and general shops across the city. Retailers with old stock are reportedly selling flour at inflated rates, in some cases charging as high as Rs1,030 for a 10-kg bag.

This artificial price hike comes despite over 900,000 tons of wheat currently stored in government warehouses across Sindh, including 200,000-250,000 bags in Hyderabad alone.

Last year (2023-24), the government had purchased wheat at Rs2,200 per 40-kg (per maund), but no official procurement took place this year, forcing farmers to sell directly to traders - many of whom have stockpiled wheat.Haji Najmuddin Chohan, General Secretary of the Ata Chakki Owners Social Welfare Association, called the hike "alarming" and "a direct challenge to the government's writ." He noted that in the last 10 days, the price of a 100-kg wheat sack had risen by Rs2,300-2,400 in Sindh and Punjab, warning that the hoarders appear determined to recreate the chaos of recent years when citizens, particularly women, were forced to chase flour trucks, leading to stampedes and even deaths.

He further alleged that wheat purchased from farmers at Rs2,200 per maund is now being resold at Rs3,200 per 40-kg, calling it exploitation of both growers and consumers. Chohan urged the government to launch immediate raids to recover illegally hoarded wheat and warned that failure to act would once again push the public into a flour crisis.