Wheat purchase: ECC yet to approve PASSCO’s increased quota
Ministry seeks increase from 800,000 to 1.2m tons.
The ministry suggested in a summary at the end of March that Passco’s quota for wheat storage should be increased from the existing 800,000 tons to 1.2 million tons. PHOTO: REUTERS
ISLAMABAD:
The Economic Coordination Committee (ECC) has yet to approve the proposal of the Ministry of National Food Security and Research to enhance the wheat storage quota of the Pakistan Agriculture Storage and Services Corporation (Passco).
The ministry suggested in a summary at the end of March that Passco’s quota for wheat storage should be increased from the existing 800,000 tons to 1.2 million tons so that provincial authorities faced no difficulties in storing the commodity.
An official in the ministry told The Express Tribune that the ministry was still waiting for the ECC’s approval despite many meetings held since the proposal was floated.
Officials said some additional funds would be required for enhancing Passco’s wheat procurement quota, which was the reason for the finance ministry’s reluctance to give its nod.
“The ECC in a meeting held in April discussed the issue but the matter was deferred due to the finance ministry’s reluctance to provide the additional funds required for enhancing the quota,” said the official.
The reason for increasing the procurement target is that in the past provinces had surplus wheat in their storages and they could not buy more from the farmers, which discouraged the growers amid bumper crops for three consecutive seasons. The country again expects to harvest a bumper crop this season.
Published in The Express Tribune, May 8th, 2015.
The Economic Coordination Committee (ECC) has yet to approve the proposal of the Ministry of National Food Security and Research to enhance the wheat storage quota of the Pakistan Agriculture Storage and Services Corporation (Passco).
The ministry suggested in a summary at the end of March that Passco’s quota for wheat storage should be increased from the existing 800,000 tons to 1.2 million tons so that provincial authorities faced no difficulties in storing the commodity.
An official in the ministry told The Express Tribune that the ministry was still waiting for the ECC’s approval despite many meetings held since the proposal was floated.
Officials said some additional funds would be required for enhancing Passco’s wheat procurement quota, which was the reason for the finance ministry’s reluctance to give its nod.
“The ECC in a meeting held in April discussed the issue but the matter was deferred due to the finance ministry’s reluctance to provide the additional funds required for enhancing the quota,” said the official.
The reason for increasing the procurement target is that in the past provinces had surplus wheat in their storages and they could not buy more from the farmers, which discouraged the growers amid bumper crops for three consecutive seasons. The country again expects to harvest a bumper crop this season.
Published in The Express Tribune, May 8th, 2015.