Pak says no to Indian wheat

Despite domestic shortages, Pakistan is unlikely to import wheat from India owing to political reasons and different agri-trade regimes in the two countries, a Pakistani legislator and industry representative said in New Delhi.

Unlike Pakistani farmers, those in India are highly subsidised for producing wheat, which makes their produce much cheaper, president of India-Pakistan Chamber of Commerce and Industry, Senator Ilyas Ahmad Bilour said.

On a visit to India to frame a business action plan in the wake of the signing of the framework agreement on SAFTA, he said even though many Pak traders were keen to buy wheat from India, permission had not been accorded by the government.

"Since Indian wheat is much cheaper and subsidised, its import will needlessly create political problems in Pakistan," he said.

The senator said Pakistan was creating a buffer stock for 200,000-250,000 lakh tonnes wheat to control the skyrocketing prices.

He said many traders had hoarded wheat to jack up the prices and creation of a buffer will reassure the market about the availability of the commodity and thereby have a sobering effect on the price line.

Last year, Pakistani business representatives, during a visit to India, had shown interest in buying wheat from here and consequently Punjab state government had written to the Centre to export the commodity through Wagah border. The issue is yet to be settled.