Pakistan has approved the import of one million tons of wheat as the government seeks to strengthen domestic supplies. The move also aims to prevent further increases in flour and bread prices.
Deputy Prime Minister and Foreign Minister Ishaq Dar approved the import after authorities completed conditions set by the Economic Coordination Committee (ECC). The Trading Corporation of Pakistan (TCP) will handle the procurement process.
The decision comes amid concerns over wheat availability in the local market. Although Pakistan produced enough wheat to meet estimated consumption, private stocks have not entered the market as expected.
TCP to Import Wheat Through Open Tender
The ECC had earlier approved the import of one million tons of wheat. It also established a steering committee to complete the requirements before imports could begin.
These requirements included pre-shipment inspections and securing the required contributions from provincial governments. The Finance Ministry could also deduct relevant amounts from provincial shares under the National Finance Commission arrangement when necessary.
Dar said the TCP would import the wheat through an open tender. The corporation will follow its standard procurement procedures during the process.
Therefore, the government will purchase the wheat through competitive bidding. The arrangement will not involve direct government procurement.
Wheat Supply Concerns Grow Despite Local Production
Pakistan produced around 28.6 million tons of wheat this year. The production level was considered sufficient to cover domestic consumption requirements.
However, concerns have emerged over the availability of wheat in local markets. Private storage holders have reportedly not released their stocks at the expected pace.
According to the report, hoarders and middlemen are holding wheat stocks while waiting for prices to increase. This situation has raised concerns about pressure on flour and roti prices.
The government therefore decided to increase market supplies through imports. Officials expect additional wheat supplies to help ease pressure on consumers.
Strategic Wheat Reserves Near Critical Levels
The import decision also highlights concerns over Pakistan’s strategic wheat reserves. Federal and provincial governments did not procure sufficient quantities despite approval from the International Monetary Fund.
Meanwhile, PASSCO’s strategic reserves have steadily declined against provincial requirements. The reserves previously stood at around 1.8 million tons.
With strategic stocks now close to depletion, the government faced growing pressure to secure additional supplies. As a result, the ECC approved the import of one million tons of wheat.
The steering committee will oversee the remaining requirements before the imports proceed. Meanwhile, the TCP will conduct the procurement through competitive bidding.
The government hopes the additional wheat will improve market availability and reduce supply pressures. The move also seeks to limit further increases in essential food prices, particularly flour and roti.
