Wheat support price increases to Rs1,950/40kg

Wheat support price increases to Rs1,950/40kg

ISLAMABAD: The federal government has increased the minimum support price for wheat to Rs1,950 per 40 kilograms from Rs1,800/40kg.

A statement issued on Saturday said that to achieve self-sufficiency in wheat, the government has decided to increase the minimum support price for wheat to Rs 1,950/40 kg compared to Rs. 1,800/40 kg last year.

The government believes that increase in support price will incentivise farmers to grow sufficient wheat to meet the national production target of 28.90 million metric tons.

It is also hoped that availability of irrigation water and weather conditions will be conducive during rabi season to achieve this target.

Due to much higher international prices of DAP fertilizer and shipping cost, the domestic price (Rs. 7,300/bag) has also increased significantly. But thankfully, the price of urea (Rs. 1,850/bag) is stable and significantly lower than the international price (Rs. 5,400/bag) because government provide Rs. 126 billion annual subsidy for natural gas.

The government is working closely with the fertilizer companies to ensure adequate availability of both key fertilizers during this rabi season.

Moreover, the government has provided over Rs. 16 billion for fertilizer, seed, pesticide, agricultural loan markup subsidies. These timely initiatives have helped generate record production of many commodities.

“Our hardworking farmers have produced record crops this year. Pakistan has achieved the highest ever production of wheat (27.5 million mt), rice (8.4 million mt), maize (8.5 million mt), mung beans (0.275 million mt), onion (2.3 million mt), and potato (5.7 million mt). And sugarcane achieved the second-highest production (81 million mt).”

In 2021-22 … Sugarcane production is estimated at 87.67 million tons; 8 per cent higher than that of last year. Rice production is estimated at 8.84 million tons which is 5 per cent higher than that of last year. Maize production is estimated at 9.0 million tons which is 8.5 per cent higher than that of last year. Cotton production as of November 01, 2021 is 6.2 million bales compared to 3.4 million bales (82 per cent higher) at the same date last year.

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