Govt Seeks IMF Approval for Wheat Price Support Policy

Govt Seeks IMF Approval for Wheat Price Support Policy

The government of Pakistan is preparing to approach the International Monetary Fund (IMF) to restore the minimum support price (MSP) for wheat. Officials believe this step is vital to revive production, which has suffered since the policy was discontinued.

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🌾 Wheat Production Concerns

Minister for National Food Security Rana Tanveer Hussain told the National Assembly Standing Committee that Islamabad is urging the IMF to show flexibility on food-related policies.

He warned that if wheat output falls another 6% this year, Pakistan may need to import wheat worth $1.5 billion. A new wheat policy is expected in early October.

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🍬 Sugar Production and Price Hike

The committee also reviewed sugar production and trade.

This year’s sugar output: 5.8 million tons (target was 7.2 million).

Last year’s production: 7.6 million tons.

Exports: $450 million worth of sugar (without subsidies).

Imports: $150 million worth to cover shortages.

The minister blamed the sugar mafia for the rising prices, saying they manipulate the market.

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🚬 Tobacco Policy Discussions

Lawmakers urged the Pakistan Tobacco Board to invest in social welfare projects in tobacco-growing areas. They also asked tobacco companies to present written reports on their challenges and solutions.

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🌱 Focus on Agriculture and Biotechnology

The ministry briefed the committee on the National Agriculture Biotechnology Policy (NABP) 2025.

The policy includes genetically modified crops, new breeding tools, and biotech research.

Lawmakers warned about potential risks, especially export rejections, and demanded a Phase II feasibility report.

The committee also requested updates on flood-related crop damage and emphasized stronger research in seed development.

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📌 Key Takeaway

Pakistan’s agriculture sector is under pressure due to falling wheat and sugar production. The government is seeking IMF approval to stabilize wheat prices while also reviewing broader policies in sugar, tobacco, and biotechnology.