Wheat supply crisis deepens as mills halt production

RAWALPINDI:

Despite a record increase of Rs550 per wheat bag in the open market, the Food Department has refused to subsidise wheat for flour mills in the Rawalpindi division and Islamabad or allow an increase in flour prices.

Mills with low wheat stocks or exhausted supplies have stopped producing and supplying flour and fine flour, triggering the beginning of a flour crisis.

The Flour Mills Association has demanded an immediate price increase proportional to wheat rates, issuance of wheat permits according to each mill's grinding capacity, and permission to supply flour to other provinces.

Association leader Raza Ahmed Shah said mills supply flour to other provinces with the department's approval, and those provinces owe them millions of rupees.

If supplies to other provinces are halted, these payments will be lost.

He said flour mills pay millions in annual taxes, but the Food Department is acting contrary to government policies by increasing wheat prices, stopping interprovincial supply, seizing loaded flour trucks and imposing heavy fines.

Drivers are being sent to jail.

He warned that if demands are not met within 48 hours, a major flour crisis will erupt in the twin cities. "We cannot buy expensive wheat and sell cheap flour or fine flour," he said.