+- Pakistan Real Estate Times - Pakistan Property News (https://www.pakrealestatetimes.com)
+-- Forum: Pakistan Real Estate / Property News (/forumdisplay.php?fid=1)
+--- Forum: Latest Pakistan Property & Economic News (/forumdisplay.php?fid=4)
+--- Thread: US sanctions Pakistan $48 million to buy expensive US wheat on deferred payment (/showthread.php?tid=2088)
US sanctions Pakistan $48 million to buy expensive US wheat on deferred payment - Naveed Yaseen - 12-19-2008 09:39 AM
ZAFAR BHUTTA/ASMA RAZAK
ISLAMABAD (December 19 2008): United States of America (USA) on Thursday sanctioned 48 million dollars to provide 200,000-250,000 tons of wheat to Pakistan on deferred payment. Trading Corporation of Pakistan (TCP) will float tender on Friday to import the said wheat from the USA on deferred payment at the rate prevailing in American market.
Addressing a joint press conference, Federal Minister for Food and Agriculture Nazar Muhammad Gondal along with Minister for Industry Mian Manzoor Ahmed Wattoo also announced the decision of fixing Rs 660 per bag of urea to break the cartels and end black marketing of urea. Gondal said that USA had sanctioned 48 million dollars to provide 200,000-250,000 tons wheat to Pakistan on the deferred payment under GSM scheme.
He said that TCP would float tender on Friday to import the wheat from USA. He said that government had fixed the urea price at Rs 660 per bag after a meeting with fertiliser manufacturers here on Thursday. He said that government would offload 290,000 tons urea fertiliser in the market by December 31 to break the cartel of the market players. Private sector will offload 100,000 tons urea fertiliser in the local market to maintain balance between supply and demand.
During the meeting with manufacturers, government has decided to purchase 50 percent urea from the manufacturers during the coming months. He said that total production of fertiliser manufacturers would be 0.7 million tons urea and government would purchase 450,000 tons from them in the coming months. Government would procure 100,000 tons urea from fertiliser manufacturers in the current month whereas 350,000 tons urea would be purchased during January-February 2009. Government would get the urea from the fertiliser manufacturers at Rs 660 per bag whereas the imported wheat price is Rs 650 per bag. The minister said that government would charge Rs 10 per bag additionally on the imported wheat to land at Gwadar.
He said that government would import 390,000 tons urea by January 15 and 190,000 tons urea would reach Pakistan by December 31 to distribute among the farmers. The minister noted that government would float another tender of 350,000 tons urea import on January 15 to ensure the availability for farmers. He warned the black marketers that they will be dealt high-handedly if involved in creating shortage. He said that provincial governments had been directed to lodge FIR against the black marketers.
Manzoor Wattoo said that government was taking different measures to make Pakistan self-sufficient in the wheat. He said that government had spent Rs 64 billion on the wheat import, which could save Pakistan to go to IMF.
He said that government had allocated Rs 32 billion subsidy for the fertiliser during the current year and had given Rs 27 billion subsidy to the fertiliser manufacturers and importers of DAP after capping the price at Rs 3,050 per bag.
Wattoo said that it was decided that government would take action against the dealers who would force the farmers to buy DAP for urea bag. He said that industry department and National Fertiliser Company (NFC) would purchase 50 percent urea production from the fertiliser manufacturers as per decision taken here in the meeting.
He said that local urea production would be seven million tons and government would receive 450,000 tons from them to meet the farmers' requirements. He said that dealers were providing urea at Rs 850 to Rs 950 per bag due to black marketing and now government would provide urea bag at Rs 660. He said that a committee headed by federal minister for industry would determine fertiliser prices in future.
http://www.brecorder.com/index.php?id=854067