Food inflation: ‘Raising wheat prices will lead to smuggling’

The federal govt should have been told of the decision, Bosan says.

Bosan says the cost of production has increased but the government has provided farmers subsidy on electricity. PHOTO: PID

MULTAN:


The Sindh government’s decision to raise the wheat support price even though the federal government has decided to provide subsidy to keep the price of wheat flour down in the country will lead to dissent and more smuggling, Minister for National Food Security and Research Sikander Hayat Khan Bosan said on Saturday.   


The minister was speaking to media people after inaugurating a volunteer medical camp organised by the Ibn-i-Seena Research Institute and Medical College at Jahangir Abad, Multan.

Bosan said the Sindh government’s decision would render ineffective the government’s efforts to keep food inflation down. Wheat support prices are usually announced near the crop sowing season, not harvest time. “In any case the Sindh government should have informed the federal government about this on time,” he said. “This will definitely encourage wheat smuggling to Sindh.”

He said the ministry had conducted extensive research on the matter and regarding plans for exporting wheat. He said the ministry had concluded that there was no need to raise the price of wheat...this would be the best possible relief for the people of Pakistan. “We have sufficient wheat stocks. We will first manage our needs and then export the surplus,” said Bosan.

The only reason for raising the wheat support price appears to have been to pressure the other provinces, he said.

Bosan said the cost of production had increased but the government had provided farmers subsidy on electricity.


He said the government was presently focusing on lessening pressure on prices in the country and “wheat is key to controlling inflation”. He said the government was taking stringent measures to bring down the cost of producing wheat so that the people could enjoy some relief.

To a question about increasing complaints regarding the Pakistan Agricultural Storage and Services Corporation, Bosan said people could lodge complaints with monitoring sections at district and sub-district levels any time of the day.

He said stern action would be taken against corrupt and negligent officials.

“The PASSCO has come forward as a leading institution to ensure transparent supply and purchase of wheat in Pakistan and aboard.” Bosan said their efforts need to be appreciated and their dedication encouraged.

Medical camp

Hundreds of patients visited the day-long free medical camp. Thirty two senior specialists of stomach, liver, lungs, orthopaedics, brain, general surgery, radiology, dermatology and gynaecology departments examined the patients.

They also conducted some surgeries at the camp. Most of the patients underwent medical screening for hepatitis and other illnesses. Former Nishtar Medical College principal and Multan Medical and Dental College Chief Dr Shabbir Nasir led the camp.

Bosan lauded the effort and said it was wonderful that so many specialist doctors had volunteered to examine the patients for free.

Published in The Express Tribune, May 4th, 2014.
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