Wheat prices crash in Punjab as farmers are forced to sell below the government’s minimum support price of Rs. 3,900 per 40 kg, farmers to lows of Rs. 3,200, while private buyers are offering Rs. 3,600 per 40 kg.
The crash is reflected in the wholesale market, with rates falling below Rs. 3,900 as well. This comes as the government stalls procurement of wheat, putting pressure on local growers to sell their produce at a staggering loss, reported a national daily.
The Punjab Food Department is yet to start the wheat procurement campaign for 2024-25. To make matters worse, recent rains have damaged standing crops in the province. Unusual weather patterns, including heavy rains and windstorms, have not only affected grain quality but also threatened harvest output.
Wheat farmers are urging the Punjab government to raise the minimum support price and double the wheat procurement target, threatening protests if their demands are ignored.
At a press conference on Monday, Pakistan Kisan Ittehad President Khalid Khokhar sounded alarm bells over reports of the provincial government reducing the wheat procurement target from four million to two million tons, citing sufficient carry-over stock. Khokhar criticized the previous caretaker administration for importing 3.2 million tons of wheat, depleting foreign exchange reserves, and neglecting farmers’ interests.
Khokhar urged authorities to set the procurement target at four million tons to stabilize falling grain prices. He further appealed to the Punjab government to negotiate with the federal government to lower input costs such as fertilizers, electricity, and diesel. Khokhar lamented the lack of long-term planning in Pakistan’s agriculture sector compared to other countries and highlighted the need for immediate action to support farmers.
It is pertinent to mention that farmers can apply for gunny bags through the Bardana app until April 17. Wheat will be purchased at Rs. 3,900 per maund starting April 22 at 393 procurement centers across Punjab. Notably, farmers will receive delivery charges of Rs. 30 per 100 Kg. A Control Room has been established to address complaints during the campaign.