Government takes step to deal with rising food inflation

Federal Cabinet has approved a Rs 10 billion subsidy at the rate of Rs 2 billion per month for next five months to the Utility Stores Corporation (USC) for provision of edible items of daily use to the people at affordable rates.

A meeting of the federal cabinet was held here on Tuesday with Prime Minister Imran Khan in the chair. Meanwhile, Special Assistant to Prime Minister on Information and Broadcasting Dr Firdous Ashiq Awan while addressing the media persons said the package would help ensure availability of wheat flour, sugar, rice and pulses among other edible items at USC outlets at "reasonable" rates.

The USC has been further directed that 20kg flour bag be sold at Rs800 while pulses at 15-20 percent less price than those in the market.

She said the government would also devise a strategy to keep a check on prices of essential edible items.

Awan said the government's economic team, Ministry of Commerce and other institutions including the USC gave a detailed briefing to the prime minister. The cabinet gave approval to a decision to lift ban on import of sugar to ensure supply of the commodity. She said export of sugar had been banned and a strategy was being devised to remove regulatory duty on the commodity.

Awan said 4.3 million women were being given Rs 2,000 monthly under the Ehsaas programme. The number will reach 70 million by the end of this year.

Awan said that the prime minister had directed his team to devise a mechanism to reduce the prices of gas and electricity in a phase-wise manner to reduce the burden of inflation on people. Under the Ehsaas fee Support Programme, the government would provide 750 rupees for male students and 1,000 rupees for female students, she said.

Awan said that under Ehsaas Nutrition programme, which would be launched next month, 20,000 women would benefit and it would be further expanded in the future. She said under the Ehsaas Langar Khana programme, 100 more langar khanas would be established across the country under public-private partnership this year.

Awan went on to say that the health advisor briefed the meeting about government initiatives in preventing coronavirus.

She said the cabinet also directed to prepare a comprehensive strategy to control the prices of electricity and gas. Awan said the report would also be shared with the media and the general public. Speaking on the occasion, Minister for Religious Affairs Pir Noorul Haq Qadri said the cabinet on Tuesday accorded approval to the Hajj Policy 2020.

He said this year the Hajj quota of intending pilgrims from Pakistan is 179,200 and efforts are being made to increase this number. He said 60 percent pilgrims will offer Hajj through government scheme while 40 percent through private tour operators.

He said transparency and merit will be ensured while selecting private tour operators as per the directions of the Supreme Court. Qadri said the Hajj package through government scheme is 490,000 rupees for intending pilgrims of north region and 480,000 rupees for those from southern regions of the country. He said the increase in hajj package is due to surge in airline's fares and depreciation of Pakistani rupee among other reasons.

Qadri said the Saudi government has levied an additional fee of 300 riyals for hajj visa and 110 riyals for mandatory health insurance. Similarly, the cost of residence has also gone up in Makkah. The minister said last year the government reimbursed an amount of Rs5.50 billion to the pilgrims and this year efforts are being made to minimize the burden on intending pilgrims.