KARACHI: Second consignment of imported wheat has reached Pakistan Saturday to avoid shortage of the commodity in the domestic market.
The shipment of some 65,000 metric tons was booked by a consortium of some seven Pakistani traders. The vessel has reached Pakistan and offloading is likely to start from Monday. With the arrival of this shipment the overall quantity of imported wheat has reached 125,000 metric tons in a week.
The federal government allowed duty-free import of some one million metric tons wheat by the private sector for an unlimited period earlier this year and the Ministry of National Food Security and Research (MNFSR) assured importers to trade in wheat for countering wheat shortage in the country.
Traders said that import of wheat will help reduce the prices of wheat and wheat products in the local market, which is facing over one million tons wheat shortage due to lower crop output.
Overall, Pakistani traders have finalized some 9 deals for import of about 0.6 million tons wheat. On the directives of the federal government, the state-run grain trader -Trading Corporation of Pakistan (TCP) is also importing some 1.5 million tons of wheat and some 0.3 million tons of sugar. The TCP conducted its first wheat import tender on August 19 and awarded tenders for the import of 330,000 metric tons of wheat. The TCP is likely to issue more tenders for wheat import to complete the quantity.
Although two shipments of imported wheat have reached Pakistan, the Sindh government has not yet announced waiver of 1.25 percent Excise and Taxation (E&T) charges on import of wheat. The Economic Coordination Committee (ECC) of the cabinet has asked the Sindh government for waiver of the E&T charges to ensure the cheaper commodity import into the country.
Sources said that another wheat consignment is expected to arrive next week and overall deliveries will be completed in September.
Copyright Business Recorder, 2020
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