Floods and weak procurement policies have pushed Pakistan’s flour milling sector into crisis mode. The Pakistan Flour Mills Association (PFMA) says only immediate imports can prevent a food shortage.
Farmers harvested a bumper crop earlier this year, but the government failed to secure enough stocks. Prices collapsed, forcing growers to sell wheat cheaply. Feed mills purchased an estimated 1.5 to 2 million tons, diverting grain away from human consumption.
Millers now face restrictions on transporting wheat between provinces, cutting off supplies where grain is available. At the same time, margins are tightening. Mills are paying Rs1,750 per 40 kg and selling flour at the same price, while also absorbing grinding costs of Rs800.
Stock levels remain unclear. Poor documentation and fear of seizures by authorities keep reserves hidden. Industry leaders estimate a shortfall of 1 to 1.5 million tons. They warn that without imports, next year’s crisis could be even deeper.
Market controls add further strain. Bread prices are fixed at Rs14, keeping wheat rates artificially low. Farmers have little incentive to plant wheat and may shift to other crops, which would shrink supply further.
The government maintains reserves under food security programs, but millers say this does not ease demand. They are calling for private imports to keep wheat flowing into the market, while the state continues to hold strategic stocks as a safeguard.
Farm groups caution that partial deregulation only fuels corruption. They argue the government must choose between full regulation or full deregulation, and ensure any imports are handled with transparency.
For millers, the situation is urgent. Without swift action, flood damage, poor policies, and distorted markets could leave the country unable to meet flour demand.