ISLAMABAD: The IMF imposed yet another major condition, barring the federal and provincial governments from fixing support prices for all agricultural crops, including wheat and sugarcane.
This condition will affect the cash crops of wheat, sugarcane and cotton, while due to restrictions on subsidizing fertilizers, farmers will have to buy expensive imported fertilizers. Implementation of the imposed restrictions will begin from the current crop (Kharif season), which has to be completed by June 2026.
The Punjab government has already started implementing these conditions. In the current season, the Punjab government did not purchase wheat, due to which the price of both wheat and flour fell by 40% and inflation reached single digits.
The IMF has also imposed conditions on the provincial governments that they will not give any subsidy on electricity and gas during the IMF program (37 months). .
While the report was earlier published by the Express Tribune, Punjab government spokesperson Uzma Bukhari denied it, sources say that as per the IMF conditions, the provincial governments will not fix the support price of sugarcane and neither will the mills. will be able to say about starting the crushing season.
It should be noted that the mill owners blame the expensive sugarcane as the reason for the expensive production of sugar. Last season, the government fixed the price of sugarcane at Rs 425 per maund, but the mills bought it at Rs 425 to 480 per maund.
It should be noted that the Executive Board of the IMF has not yet approved the program for Pakistan, but has not only imposed the conditions, but also wants to implement them. As it does for special areas like Baltistan, the IMF has also directed this limited purchase at market price.
