The market was oversupplied with wheat imports, which caused prices to drop sharply below the government-set minimum support price (MSP) of Rs. 3,900 for 40 kg. The breadbasket of the nation, Punjab, was particularly hard hit by this policy’s farmers. Their produce was unsold, resulting in significant financial losses since it was unable to compete with the less expensive imports.
Due to an excess of wheat imports, the market saw a dramatic decline in prices, falling below the minimum support price (MSP) set by the government at Rs. 3,900 for 40 kg. The farmers affected most severely by this program were those in Punjab, the nation’s breadbasket. Their produce was unsold since it couldn’t compete with the cheaper imports, which led to large financial losses.
The repercussions are far-reaching. Farmers that are discouraged are less likely to make investments in upcoming harvests, which could endanger the food security of the country. Furthermore, the crisis erodes confidence in the government’s capacity to promote agriculture, a vital industry for Pakistan’s economy.
Moving forward calls for a multifaceted strategy. First and foremost, the government must set up a reliable system for import scheduling and market forecasting. Second, it’s imperative to restructure the procurement process to guarantee prompt and effective acquisitions from domestic suppliers.
Lastly, improving farmer education and infrastructure can raise agricultural output and market accessibility.
The wheat crisis in Pakistan serves as a lesson. It emphasizes how crucial it is to make informed policy decisions and how important it is to give domestic production top priority. Pakistan can create a more robust and sustainable food system for the future by tackling these problems.
Name: Shahbaz Ali
(Student of BS Public Administration at Quaid-i-Azam University, Islamabad)
Contact: 0343-4691291 Email: shahbazalijutt47@gmail.com
CNIC No: 32303-1622804-9
