Over 15 Sindh mills stop producing flour

KARACHI: Over 15 flourmills have stopped producing flour in the last couple of days since the Sindh Food Department is diverting all the trucks carrying wheat to its warehouses instead of flour factories sources said on Friday. Some 20 percent flourmills located in Karachi have stopped producing flour due to no supply of wheat from farms in Sindh Chaudhry Muhammad Younus, chairman of Pakistan Flour Mills Association (Sindh-Chapter) said. There are about 85 factories making wheat flour in Karachi. “If the factories are denied wheat, the remaining 80 percent of them may also cease production by Monday,” he said. A trader at Jodia Bazaar said that there had been no wheat supply to the bazaar from farms for the last three to four days. We haven’t been making trades in wheat for the last two to three days he said. The trader said that officials of the provincial food department were not allowing the wheat movement from farms to Karachi. Whenever they find trucks for carrying wheat v they divert them towards their warehouses instead of allowing them to continue their journey to Jodia bazaar and/or flourmills,” he said. Another source said that the excise department’s officials and police personnel were complicit in diverting of wheat trucks. He termed this illegal adding that this was unjustified and a discrimination with Karachiites.” The source said that such an action by the government officials was seen nowhere else in the country. He questioned that why Karachi was being discriminated. It would be worth mentioning here that the Sindh food department was aimed at procuring 1.3 million tons of wheat in the next two months, he said. The aim of the procurement is to keep flour and wheat prices stable throughout the year. However, the procurement drive is fueling the price hike. “Therefore it militates against the philosophy of keeping the prices stable said the source. Last week the Chief Minister Sindh Syed Qaim Ali Shah approved an increase in wheat support (minimum) price by Rs1.25 per kilogramme to Rs31.25 per kilogramme. “Traders linked the price hike with the government procurement drive said the source. The price raise was made to convince farmers to sell their wheat to the government instead of traders in the private sector he said. “Farmers prefer to sell wheat to traders over the government since traders clear outstanding amounts earlier than the government he added. The entire situation therefore forced flour millers to have increased price of flour (2.5 number) by Re1 per kilogramme to Rs38.50 per kilogramme (ex-factory) Younus said.