KARACHI: Wheat grain prices have sharply risen by Rs 1,000 per 100-kg bag during the last one week due to expected shortage of the commodity.
Traders told Business Recorder that prices of wheat grain surged to Rs 9,100 per 100-kg bag in the domestic market on Monday compared to Rs 8,100 per 100 kg bag a week earlier. In terms of kilograms, wheat prices have increased by Rs 10, to reach Rs 90 per kilogram. They informed that the country is already facing wheat shortage of an approximately 3 million metric tons this year and after the recent flood, the market is expecting further shortfall in coming months due to delay on wheat sowing. With the current increase in the wheat rate, the prices of wheat flour are expected to reach Rs 100 per kilogram.
The Sindh government has increased the wheat support price and fixed it at Rs4,000 per 40 kg. It means the next wheat crop minimum price will be Rs 100 per kilogram. The Sindh government has taken this step to encourage flood-affected local growers to grow more wheat to prevent a famine-like situation in the province.
Leading commodity trader and exporter Muzzammil Chappal, who is also chairman Cereal Association of Pakistan (CAP), has said that massive surge in the wheat prices will add more difficulties for the masses, particularly flood affected peoples, who are already facing a shortage of food.
He informed that wheat price is increasing because of a shortfall in the domestic market due to lower production output this year.
Copyright Business Recorder, 2022
Comments
Comments are closed.