Pakistan Faces Fresh Wheat Crisis as Government Plans Emergency Imports
- Government plans to import one million tons of wheat to address looming shortages.
- Reports claim around 4.5 million tons of wheat are unaccounted for in Punjab.
- Analysts blame poor procurement policies and mismanagement by federal and provincial governments.
- Experts warn imports could cost Pakistan up to $400 million while increasing pressure on foreign exchange reserves.
Pakistan is once again facing concerns over a possible wheat shortage, with the federal government reportedly deciding to import one million tons of wheat to stabilize supplies. The move comes despite repeated warnings from farmers over the past several months that poor procurement policies could lead to a crisis.
According to claims discussed during an ARY News program, both the federal government and provincial administrations struggled to procure wheat under the existing policy framework. Reports presented during the discussion also alleged that around 4.5 million tons of wheat are missing in Punjab, while questions have also been raised over wheat stocks in Sindh.
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Investigative journalist Nadeem Ashraf Bhatti said the crisis was the result of policy failures by both the federal government and the wheat-producing provinces, particularly Punjab and Sindh. He argued that Punjab shifted wheat procurement responsibility to the private sector without ensuring access to the financing needed for large-scale purchases.
According to Bhatti, wheat procurement typically requires around Rs300 billion in financing, which was previously managed by the government through bank borrowing. However, he claimed private companies were unable to secure such funding, resulting in lower-than-expected purchases from farmers.
He also alleged that Sindh had planned to purchase its own wheat crop but failed to complete the procurement process. Referring to previous official statements, he claimed that around 600,000 tons of wheat had been reported missing from Sindh’s records, while Punjab was now facing questions over an estimated 4.5 million tons of wheat.
The discussion further suggested that although Punjab had announced a bumper wheat harvest, uncertainty remains over the actual production figures and where a significant portion of the crop has gone. Analysts argued that if the reported production figures were accurate, the country should have had enough wheat to meet domestic demand and potentially export surplus stocks instead of preparing for imports.
Bhatti also criticized the government’s decision to rely on imported wheat while simultaneously moving toward winding down the Pakistan Agricultural Storage and Services Corporation (PASSCO). He noted that PASSCO traditionally procures wheat from Punjab and Sindh or through imports to maintain strategic reserves.
He estimated that importing one million tons of wheat at current international prices, along with freight costs, could cost Pakistan between $350 million and $400 million. He warned that continued imports over the coming months could significantly increase the country’s import bill and place further pressure on its already strained foreign exchange reserves.
The discussion also questioned why no major inquiry had been launched into the wheat procurement issues despite similar concerns being raised in previous years. Bhatti claimed that although investigations had been promised in the past, no meaningful accountability had followed.
During the same interview, the conversation briefly shifted to politics. Bhatti said there had been informal contacts between government representatives and members of the Pakistan Tehreek-e-Insaf (PTI), but claimed that no significant breakthrough had been achieved. He suggested that discussions had largely focused on individual legal matters rather than broader political issues, while PTI continues to maintain that the release of its founder remains its primary objective.
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