Pakistan has decided not to import more wheat, and now it would rely on local production to meet its demand for 2005-06. The decision of not importing more wheat has been taken in the wake of heavy rains in January and February, which increased water availability for Rabi season and brightened prospects of a bumper wheat crop. Sources said the government has conveyed its decision to Trading Corporation of Pakistan (TCP) which was assigned the job of importing wheat to plug the gap in demand and supply.

The TCP has also been asked to withhold its decision of issuing a specific tender to import brown variety of wheat from Russia.

TCP chairman Masood Alam Rizvi told Business Recorder that he has received instruction to discontinue the wheat import process.

He said that TCP would wait for further instructions from the government for change in its policy of not issuing more tender for import of wheat.

Experts say that heavy rainy spells in January and February would increase per acre production and bring the estimate well in reach. In particular, rains have increase prospects of good crop in (Barani) rain-fed areas.

They say that as a result of timely rains (Barani) rain-fed areas will add roughly 1.5 to 2 million tons wheat in Pakistan's total production.

This year Pakistan is estimating 20.2 million tons wheat output.

Wheat Commissioner Qadar Bux Baluch said that imported wheat has seized upward trend in wheat prices and now the situation would improve considerably from next month when harvesting would start in Sindh. He said wheat crop would be ready for harvesting in Sindh from the second week of March.

Copyright Business Recorder, 2005