Wheat Prices Killing Lahoris

The price of wheat in Lahore has witnessed a significant surge, with a 40kg bag now being sold for Rs5,100, according to dealers. This increase has caused concerns as it exceeds the government's fixed rate of Rs3,900. Flour millers are struggling to comply with the government's pricing, leading to a rise in the cost of a 20kg flour bag to Rs2,750, compared to the government's set rate of Rs2,316. Additionally, recent efforts to curb smuggling of wheat and flour to Afghanistan have been made, highlighting the challenges faced by the Punjab Food Department.

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Escalating Wheat Prices

The dealers in Lahore are selling 40kg bags of wheat at a significantly higher price of Rs5,100, surpassing the government's stipulated rate. This disparity has caused concern among consumers who are facing the brunt of increased wheat costs. The flour mills association leader has expressed frustration over the government's failure to enforce its fixed rate, leading to market instability and inflated prices.

Impact on Flour Prices

As a result of the surging wheat prices, the cost of a 20kg bag of flour has also experienced a sharp increase. Flour millers, burdened by the elevated costs of procuring wheat from the open market, are finding it difficult to sell flour at the government's prescribed rates. This has resulted in the current price of Rs2,750 for a 20kg flour bag, which exceeds the government's rate of Rs2,316. The situation has created a dilemma for both producers and consumers alike.

Smuggling of Wheat and Flour

In an attempt to address the issue, the Punjab Food Department recently took action against the smuggling of wheat and flour to Afghanistan. Authorities discovered over 70 containers loaded with wheat and flour being transported from Rawalpindi Motorway. Officials from the district food authority seized 46 containers filled with wheat and 16 containers carrying flour during inspections. The confiscated goods were being smuggled from Punjab to Afghanistan, contravening the ban on wheat transportation from the province.