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Noting smuggling as a basic reason of the wheat crisis in the country, the federal cabinet has directed Interior Ministry to make its network of the Rangers and Frontier Constabulary (FC) effective to seal porous borders to avoid repetition of 2007 happenings again.
The cabinet noted with concern that despite announcements at the highest level, the agencies concerned could not control wheat smuggling at borders with Afghanistan and India in 2007.
Sources said Food Minister Chaudhry Nisar Ali Khan and Secretary Ziaur Rehman gave a detailed presentation to the Federal Cabinet, which met here on April 23 with Prime Minister Syed Yusuf Raza Gilani in the chair, claiming that low prices of wheat in Pakistan led to its massive smuggling to Afghanistan and India in the last months of 2007 and first two months of 2008. The minister claimed that Chaman and Torkhum points at Afghan border remained attractive routes for wheat smuggling in 2007.
He added that according to reserve estimates, 0.5 million tons wheat was smuggled to Afghanistan in addition to 1.5 million tons supplied to Kabul through legal channel. Chaudhry Nisar also claimed that high prices opened up India as another destination for wheat smuggling from Pakistan.
He said, "Wheat smuggling to India and Afghanistan in 2007 was estimated at 3 million tons, which badly affected demand and supply situation that subsequently led to a serious crisis in Pakistan".
One participant told Business Recorder on Monday that wheat crisis was an important agenda item of the federal cabinet meetings held on April 9 and April 23, and the issue was discussed at length to overcome the ongoing wheat crisis.
After an hour long deliberations, the cabinet approved a 3-pronged strategy to deal with the issue effectively. It included sealing of porous borders with India and Pakistan through effective monitoring by the Rangers and FC, importing of 1.5 million tons of wheat to maintain reserve stocks at an optimum level in 2008, and taking punitive action against the hoarders to ensure maximum supply of flour for the open market.

Copyright Business Recorder, 2008

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