Punjab govt decides not to purchase wheat next year

The Punjab government has decided not to purchase wheat next year, citing a significant surplus in its wheat stockpile.

According to official sources within the Punjab government, the decision comes as the government currently possesses a substantial stock of wheat that can meet the province's requirements for up to one year.

Sources reveal that the Punjab government currently holds a staggering 2.27 million tonnes of wheat in its reserves, indicating a surplus that provides assurance of food security for the foreseeable future. This surplus has enabled the government to make the decision to forgo wheat purchases for the upcoming year, thereby saving billions of rupees in procurement costs. 

Furthermore, sources within the Punjab government highlight that approximately 95% of Punjab's farmers have already sold their wheat to middlemen, easing the burden on the government to directly procure the grain.

However, there have been concerns raised regarding the role of middlemen in the wheat supply chain, with sources emphasizing that these intermediaries often exploit farmers while masquerading as their representatives. 

The Punjab government aims to redirect the saved funds towards providing essential support to farmers, including the issuance of Kisan cards and other facilitative measures. 

The Punjab government had previously set a procurement rate of Rs3,900 per maund for wheat purchases, but with the surplus in reserves, the need for direct procurement has been obviated for the upcoming year.