Wheat Imports Fail to Provide Relief in Flour Prices

Notably, the arrival of imported wheat has lowered grain rates in Pakistan's open market, but consumers continue to pay high rates for flour and baked goods, with retail costs remaining largely unchanged despite a recent reduction in mill rates.

Key points

• The first shipment carrying 51, 000 tonnes of imported wheat arrived at Karachi Port on October 28, bringing open-market wheat rates down to Rs.
• According to the Sensitive Cost Index for the week ending October 29, Karachi and Hyderabad have the highest flour costs among major cities.
• SBP Makes It Easier for Small Businesses, Farmers to Obtain Bank Loans.
• In Islamabad, Rawalpindi, Lahore and other major cities in Punjab, 20kg flour bags are priced between Rs.
• Wholesaler Rauf Ibrahim remarked regulators had failed to control inflated retail costs despite the decline in open-market wheat rates.

Notably, the first shipment carrying 51, 000 tonnes of imported wheat arrived at Karachi Port on October 28, bringing open-market wheat rates down to Rs. 130 per kilogram from Rs. 140. Another vessel carrying 58, 132 tonnes is scheduled to arrive on Tuesday, November 3.

Nevertheless, wheat costs have continued to fluctuate. Wholesalers quoted an average rate of Rs. While flour millers remarked costs ranged between Rs, 132 per kg. 136 and Rs. 137 per kg. Govt Admits Old Imported Wheat is Poor Quality. Flour Mill Rates Fall, but Consumers Secure No Relief.

Flour millers had rose costs of different flour varieties by Rs. 20 per kg before reducing them ahead of the arrival of imported wheat. A miller remarked mills lowered costs on October 28, two days before the shipment arrived.

Meanwhile, the latest mill rates for flour No. 2.5, maida and fine flour stand at Rs. 156, Rs. 168 and Rs. 171 per kg, respectively. During the first week of October, the same varieties were priced at Rs. 161, Rs. 173 and Rs. 176 per kg.

Despite the reduction, retail rates have remained unchanged. Flour No. 2.5 and maida are selling at Rs. 170 to Rs. 180 and Rs. 185 to Rs. While fine flour is priced at Rs, 190 per kg, respectively. 185 to Rs. 190 per kg. Bad News for Pakistan's Cotton: World Bank Sounds the Alarm. LPG Costs Offset Lower Flour Rates.

Rates of chapati, naan, sheermal, taftaan and qulcha have additionally remained unchanged at Rs. 20, Rs. 30 to Rs. 35, Rs. 100 to Rs. 110, and Rs. 90 to Rs. 100, respectively.

Meanwhile, a tandoor owner remarked the high cost of liquefied petroleum gas (LPG). It ranges from Rs. 500 to Rs. 550 per kg, has offset the impact of lower flour rates. He cautioned that further increases in LPG costs could create it challenging for tandoor operators to sustain their businesses.

Wholesaler Rauf Ibrahim remarked regulators had failed to control inflated retail costs despite the decline in open-market wheat rates. As Pakistan needs more than 2 million tonnes to bridge the supply-demand gap until the next crop arrives from Sindh and Punjab between March and May, he additionally cautioned that the planned import of 750, 000 tonnes of wheat would be insufficient.

Ibrahim pressed the administration to allow private-sector firms and flour millers to import wheat to assist stabilize flour rates. He continued that workers earning less than Rs. 50, 000 a month were struggling to cover food expenses, leaving little for their children's education and other needs. Karachi and Hyderabad Face Highest Flour Rates.

Notably, a 20kg flour bag costs up to Rs. 3, 540 in Karachi, compared with an average of Rs. 3, 200 in other parts of the country. In Hyderabad, the cost ranges from Rs. 3, 360 to Rs. 3, 400.

In Islamabad, Rawalpindi, Lahore and other major cities in Punjab, 20kg flour bags are priced between Rs. 2, 200 and Rs. 3, 333. Sukkur recorded the highest cost for a 10kg wheat bag at Rs. 1, 488, followed by Peshawar at Rs. 1, 469 and Hyderabad at Rs. 1, 453. Karachi's rate stood at Rs. While Islamabad and Rawalpindi averaged Rs, 1, 440. 1, 453.

Sargodha had the lowest 10kg wheat bag cost at Rs. 1, 223, followed by Bahawalpur at Rs. 1, 266. Faisalabad and Sialkot recorded rates of Rs. 1, 300.

For fine flour, Hyderabad and Quetta documented the highest rate at Rs. 187 per kg, followed by Karachi at Rs. 185 and Islamabad at Rs. 183. Rates in other cities ranged from Rs. 147 to Rs. 180 per kg. As it is not a wheat-growing area, a flour miller remarked Karachi's high costs were partly due to the city's dependence on wheat supplies from other parts of Sindh. Stay Connected with ProPakistani.

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Taken together, the developments around wheat Imports Fail to Provide Relief in Flour Prices point to a situation that is still moving, and the coming days should bring more clarity.