Rate of wheat climbs down but no cut in flour price

Millers have decided to reduce ex-mill price of various varieties of flour by Rs6 per kilo following improvement in supplies in government’s wheat to the mills, it emerged .

Chairman Pakistan Flour Mills Association (PFMA), Sindh Zone, Khalid Masood said after Rs6 per kg drop, the new ex-mill rate of flour No 2.5 has been fixed at Rs48-50 per kg followed by Rs52-54 per kg for fine and super fine (maida) flours. “The price cut has been made specifically for Karachi,” he claimed adding that the new rates would become effective in a day or two.

When asked that rates of Ashrafi and Bake Parlor flour are still high, he said “these are brands and far superior in quality with normal flour varieties. They have separate customers.” The five kg and 10kg bag of these brands sell at Rs340-350 and Rs660-670 as compared to Rs290 and Rs580-590 two weeks back.

To a query that the rates of flour No 2.5, fine and super fine are very high in the markets, he said “we have cut price on exmill rates. The city government is responsible for taking notice of profiteering by the retailers.”

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An improved supply of wheat by the government to flour mills has also made a positive impact in the open market where wheat prices have started decreasing. The rate of a 100kg wheat bag, which was increased to Rs5,200-5,300 a week ago, now stands at Rs4,800.

He said 72 mills in Karachi are getting 1,200 wheat bags per day which was 300-600 bags last week. He anticipated more price cut in flour in case supply of government’s wheat to the flour mills further improves. Mills are getting wheat at Rs3,450 per 100kg bag from the government.

Khalid said mills were also focusing more in ensuring supplies of flour No 2.5 at Rs43 per kg. Mills were providing 24,000 flour bags, weighing 10kg each, in the six districts of the metropolis on a daily basis and the same 10kg bag of flour was also available in bachat bazaars.