ISLAMABAD: As a meeting of the Economic Coordination Committee (ECC) of the Cabinet has decided that no province would be provided additional wheat from now on and would be asked to import by themselves. A federal cabinet meeting, which is scheduled for today may increase minimum wheat support for wheat as provinces are not ready to accept Rs1,650 per 40kg for price for the upcoming crop.
Sources, on condition of anonymity, said that "tomorrow MSP minimum support price may be increased as provinces are not ready to accept Rs1,650".
They added that Advisor to PM Dr Ishrat Hussain, Ministers Fakhar Imam, Khusru Bukhtiar were of the view that Rs1,650 as minimum support price for the wheat crop would be insufficient, and transfer of money to the rural economy would generate much-needed economic activity for employment creation.
A special meeting of the ECC on the issue of wheat presided over by the Adviser to Prime Minister on Finance, Dr Abdul Hafeez Shaikh, on Monday also decided that provinces would be provided no additional wheat than the already imported wheat for them from now on and if they need additional wheat they can import it by themselves.
In the light of the recommendations of the Coordination Committee of the ECC held on Sunday, November 2020, on the issue of wheat, the ECC, in the light of the recommendations, decided that a subcommittee under the guidance of the SAPM on Revenue Dr Waqar Masood would be constituted in consultation with the Ministry of Finance, the Ministry of National Food Security and Research (NFS&R) and the provincial governments to work out the total volume of subsidy involved in imported and local wheat. An official said that the ECC would propose Rs1,650 per 40kg as minimum wheat support price per 40kg for 2020-2021 crop, however, the federal cabinet may increase it to Rs1,800 per 40kg.
A final decision, they said, would be taken by the federal cabinet.
The ECC also decided to form a logistics committee in order to resolve the day-to-day logistic issues of wheat import.
The committee will deal with day-to-day interagency issues and matters related to priority berthing, axle load, lifting of cargo, and any other ancillary matter, the meeting was told.
The ECC also discussed the issues related to demand and supply of wheat in the country, and the Ministry of National Food Security and Research reported that the wheat imported under the government to government (G2G) arrangement from Russia would reach the country within this month, and there will be no shortage of the commodity in the country.
The Committee comprises Secretary NFS&R (Convener), Secretaries/representatives of Finance, communication, Maritime Affairs, Commerce, Industries and Production, Railways and MD PASSCO, Chairman TCP, DG NLC, Port Authority, provincial governments and private transporters.
Copyright Business Recorder, 2020
Comments
Comments are closed.