Outcry in Pakistan! Defying the government, traders increased the price of flour to ₹ 170 per kg, crisis of supply stoppage in Karachi

In the neighboring country Pakistan, which is facing severe economic crisis, the shortage of basic food items and skyrocketing prices have broken the back of the common people. These days, a major and violent administrative standoff has arisen between the provincial government and the flour mill industry over controlling flour prices in the city of Karachi, the capital of Sindh province and the economic heartbeat of Pakistan. Despite strict warnings issued by the local administration and new official notifications, big traders and mill owners of the market have completely defied the government orders. Due to this conflict, there is a serious possibility of complete stoppage of flour supply chain and starvation-like situation in the entire Karachi metropolis in the coming days. Government rates limited on paper: Grain is being sold at high prices even after notification. According to an investigative report released by ‘The Express Tribune’, the local administration of Karachi had hastily issued a new price-control notification to control the rampant inflation. Under this new government order, the retail price of ordinary grade flour was fixed at 125 Pakistani rupees (PKR) per kilogram, the price of fine flour was fixed at 135 PKR per kilogram and the rate of pure mill flour was fixed at 145 PKR per kilogram. Along with this, the prices for the wholesale market were also fixed at Rs 122 and Rs 132 respectively. But, on the ground, this order of the government has proved to be completely ineffective. Even today, in the retail markets of the city, common flour is being sold openly at a record high of Rs 145 to 150 and fine and fine flour at a record high of Pakistani Rs 160 to 170 per kg. Open rebellion of mill owners: Refusal to accept the decision citing rising input cost of wheat. Flour Mills Association of Pakistan and representatives of the industry have openly raised the alarm of rebellion against government control. Industrialists have a clear argument that these paper rates decided unilaterally by the government are not practical and they will not implement it at any cost. Traders say that the government has completely ignored the huge increase in the input cost of wheat (Wheat Procurement Cost) and prices of electricity and fuel in the open market in this new notification. The mill owners, categorically refusing to run a loss-making business, have warned that if any attempt is made to forcibly impose government rates on them or any administrative action is taken, they will lock their mills, which may lead to wheat famine in the entire country. Supply chain on the verge of breaking: Increased fear of hoarding and starvation among the general public. The poor and middle class people of Karachi are bearing the direct brunt of this huge administrative and business deadlock. Due to huge uncertainty in the market, retail shopkeepers have started hoarding flour, which has created a shortage of ration in many areas. Geopolitical analysts believe that if no practical agreement is reached between the government and mill owners soon, the flour markets of Karachi may be completely closed in the coming 48 hours. This crisis has come at a time when Pakistan is already burdened under the tough conditions of the International Monetary Fund (IMF) and huge foreign debt, which has once again raised serious questions on the administrative capacity of the Shehbaz Sharif government.