In a significant development concerning the surplus wheat import scandal, it has been revealed that the national exchequer suffered a loss of over Rs300 billion. This loss is due to the import of surplus wheat during the interim government’s tenure. This revelation came to light during a briefing to Prime Minister Shehbaz Sharif.
According to Ministry of National Food Security, progress has made in the investigation initiated by PM Shehbaz. The ministry disclosed that caretaker government granted the private sector a complete exemption from import restrictions. Additionally, wheat traders enjoyed exemptions from customs duties and GST, exacerbating the financial burden on the national exchequer.
Despite a wheat production of 28.18 million tonnes last year, the caretaker government opted to import an additional 2.45 million tonnes. However, the government’s primary procurement agency, Pakistan Agricultural Storage & Services Corporation Limited (PASSCO), along with provincial departments, fell short of purchasing the required amount from growers, managing only 5.87 million tonnes against the targeted 7.80 million tonnes.
Furthermore, it revealed that the Ministry of National Food Security overlooked the recommendations of the Ministry of Commerce and Trading Corporation of Pakistan (TCP) when sending the import summary for approval by the interim cabinet. This disregard for expert advice contributed to the mismanagement and financial losses incurred.
As the wheat crop awaits purchase by provincial governments, farmers left in distress. Despite price regulations set by provincial authorities, Punjab and Balochistan have yet to commence procurement from farmers. Consequently, wheat is selling at prices lower than the official rate, adding to the concerns of farmers already grappling with economic uncertainty.
Conclusion:
this surplus wheat import scandal underscores the need for robust oversight and adherence to expert recommendations to safeguard the national exchequer and protect the interests of farmers. Swift action and accountability measures are imperative to address the repercussions of this mismanagement.
