The government has begun the process of importing additional wheat.
As a result of the shortage caused by the floods, Pakistan has issued a tender for the purchase of 500,000 MT.
KARACHI — The federal government has initiated the process of importing an additional 500,000 metric tonnes of wheat in response to the scarcity that has arisen as a consequence of the recent severe floods that have occurred in numerous parts of the nation.
There has already been a request for proposals (RFP) published by the Trading Corporation of Pakistan for the import of wheat.
International suppliers of wheat have till November 28 to submit their confidential proposals in response to this request.
On the same day as the bids were received, they were opened.
For the period beginning December 16, 2022 and ending February 8, 2023, bids have been requested for the import of wheat. In addition, it was decided that bids for quantities of less than 100,000 metric tonnes will not be accepted.
As a result of the loss of farmland caused by the floods, Pakistan’s Prime Minister Shehbaz Sharif stated in September that the country would be forced to buy approximately one million tonnes of wheat.
During a wide-ranging interview with a foreign news agency, he stated that “it can come from Russia, but the country is open to other offers.”
He continued by saying, “The country is also in need of fertiliser because the industries that were involved in its manufacturing have shuttered.”
According to the Prime Minister of Pakistan, floods that were likely made worse by climate change have submerged one-third of Pakistan’s territory and have left 33 million of the country’s citizens scurrying for ways to survive.
Even before the floods started in the middle of June, Pakistan was already facing significant hurdles from grain shortages and increasing crude oil prices. These problems were primarily caused by Russia’s invasion of Ukraine on February 24 and the subsequent war that followed.
One aspect of grain purchases touches on one of the most vital problems facing Pakistan, which is its relationship with India, which is a neighbouring country.
When the prime minister was asked about the potential of purchasing grain from India in the event that it was required, he said that the idea was prevented by “a legal bottleneck” involving Kashmir.
According to what the Prime Minister of Pakistan had to say, “India is a neighbour, and Pakistan would very much like to live like a peaceful neighbour with India.”
However, this is contingent on meeting a number of requirements. We will not be able to live in peace unless and until the volatile subject of Kashmir is settled via peaceful dialogue… like peaceful neighbours, with the sincerity of intent,” he continued. India needs to realise this in order for us to be able to live together in harmony.
In the same month, the federal government made the decision to relieve the provinces of their wheat shortage by delivering 1.5 million tonnes of wheat to them. This was done in response to the devastation caused by floods.
It gave its approval to Sindh, Khyber-Pakhtunkhwa, and Azad Jammu & Kashmir receiving wheat from the central government.
When the PTI was in power in the country, hoarders and intermediaries began stockpiling wheat in an effort to drive up the price of the commodity. This led to the catastrophe that the country is currently experiencing.
Another factor that contributed to the withdrawal of wheat flour from the market was the widespread trafficking of the product into Afghanistan.
Keeping in mind the circumstances that had to be dealt with in the past, the government has been working on the establishment of strategic reserves in preparation for any potential shortage of wheat in the country.
According to the Managing Director of the Pakistan Agricultural Storage and Services Corporation (PASSCO), Saeed Ahmad Nawaz, the rains and floods have caused damage to the wheat stock that is stored at the government warehouse.
“However, wheat that is fit for human consumption was successfully separated from the damaged stock, and it is now being supplied,” he added. “The damaged stock was successfully separated from the wheat.”
Because of the current circumstances, there is a chance that food security will continue to be a cause for concern in the months ahead. Wheat planting has decreased as a result of the high cost of inputs such as urea, electricity, and other fertilizers, as he explained.
