PM to visit PASSCO to iron out multiple issues

State-run granaries operator is owed over Rs13b by Gilgit-Baltistan.

LAHORE:

Prime Minister Raja Pervaiz Ashraf is scheduled to visit the headquarters of the Pakistan Agriculture Storage and Services Corporation (Passco) in Lahore for a briefing on financial matters, the organisation’s recruitment process, and administrative issues it faces, The Express Tribune has learnt.

Minister for National Food Security and Research Senator Mir Israrullah Khan Zehri and senior officials of the ministry will accompany the premier during his visit.

During 2011, the corporation provided 132,000 tons of wheat to GB, and 72,900 tons have been provided on support price as of August this year. However, the government of GB has failed to clear its dues for wheat provided to it since 2007, and outstanding dues have accumulated to Rs13 billion as of August 2012. The corporation has not discontinued the supply of wheat to GB, as the Ministry of National Food Security and Research had directed it to continue supply under its objective of maintaining food security at the national level, an official said.

This issue will now be taken up with the prime minister. Passco needs to get its dues cleared, as it acquires wheat with loans provided by commercial banks, the official said.

The Minister for National Food Security and Research and the Passco MD do not enjoy a cordial relationship, and the premier is expected to arbitrate between the two for a resolution to the issue. The premier is also likely to discuss the recruitment process and make provisions to fill vacant slots in the organisation and make the corporation a more vibrant entity. A senior official requesting anonymity said this would be the first visit of any prime minister to the corporation. All preparations had been finalised for a detailed briefing to visiting personalities. The visit will help encourage the morale of the corporation and its employees, he added.

Passco was established in 1973 and commenced operations in May, 1974. It was registered as a public limited company with an authorised capital of Rs100 million and paid-up capital of Rs30 million.

The government contributed 25% of the paid-up capital, while the remaining was provided by five commercial banks and the Zarai Tarakiati Bank. A board of directors supervises the functions of the corporation.

Published in The Express Tribune, November 11^th, 2012.