Showing posts with label storage capacity. Show all posts
Showing posts with label storage capacity. Show all posts

Friday 24 February 2023

Pakistan: Auction of wheat not fit for human consumption

Pakistan Agricultural Storage & Services Corporation Ltd (PASSCO) has published a tender in newspapers for the sale of 44,000 tons of wheat lying in its warehouses. This wheat is not fit for human consumption. The last date for submission of the tender is March 03, 2023.

Experts fear that ‘not fit for human consumption’ wheat will ultimate be bought by the erring flour mills and sold to the consumers. Even if it is bought by chicken feed mills, the birds eating contaminated feed will not be suitable for human consumption.

Technically the government should burn this wheat to save chickens and human beings.

Going such a large quantity stale raises various questions: 1) why appropriate steps were not taken to save this quantity from going stale? 2) Why there was delay in release of the quantity to flour mills when market was experience shortfall? Will any action be taken against those who are responsible for this crime?

It is estimated that going stale of such a big quantity would cause over PKR20 million to the nation. The Government is already spending foreign exchange on the import of wheat, leading to waste of precious foreign exchange. On top of all the incapacity of the government has raised flour price in the local market and added to the miseries of the poor people.

This highlights the inadequate storage capacity available with PASSCO and provincial departments. The successive governments have failed miserably in the construction of grain storage silos.

Reportedly, the aggregate wheat storage capacity of PSSACO and provincial food departments is less than 2.5 million tons as against an average crop size of nearly 30 million tons. It must be remembered that these are flatbed warehouses where wheat is kept in bags.

Another question can be raised, if PASSCO and provincial food departments do not have adequate storage, why the government has given these the mandate to be the sole buyers of wheat?