650,000 tons wheat imported

Traders are expected to import more wheat with deals totalling 200,000 tonnes expected for January/February shipment, traders and a government official said on Tuesday.
The traders had already finalised import deals for 650,000 tonnes of milling wheat, after a duty reduction this year, and cargoes of 300,000 tonnes had reached Pakistan up to November 15.
But Wheat Commissioner Qadir Bux Baluch said the traders were likely to buy more to meet growing need in Karachi.
"Most of the previous imports were for Karachi and Sindh which still needed additional supplies of maybe another 200,000 tonnes or so," Baluch told Reuters. "Traders are continuously in the market at the moment."
Karachi-based traders said supplies of locally produced wheat for the city of more than 15 million people were slow after bad weather trimmed last year''s crop and also damaged its quality.
The cost of trucking wheat from Punjab is also reflected in higher prices in Karachi.
POOR QUALITY Pakistan-based Seatrade Group Chief Executive Muhammad Najib Balagamwalla said that the poor quality of government wheat was the main reason behind a surge in imports for the city.
"The government is offering 30 percent damaged wheat grain, but prices are as high as high quality Australian wheat," Balagamwalla said.
"The landing costs of imported wheat are comparatively cheap in Karachi so the mill-owners and traders are aggressively booking cargoes from abroad," he added.
Balagamwalla said that the traders had bought wheat from Russia and Ukraine and some cargoes of the US and Australian wheat had also reached Pakistan.
Four cargoes of Russian and Ukrainian wheat at $141-156.50 a tonne, including cost and freight had reached Pakistan, while cargoes of 50,000 tonnes of wheat each from Australia and the United States have also anchored at the Karachi Port.
The traders said the price of Australian wheat was $169-170 per tonne, while the US wheat was $167-169 per tonne.
"The traders have finalised deals for another 200,000 tonnes from Russia and 50,000 tonnes each from Australia and the US for December and January shipments," Balagamwalla said.