20000314

Issue price, subsidy

on wheat: options

under govt study

ISLAMABAD: The government is weighing pros and cons of the matter pertaining to issue price and subsidy on wheat to hammer out final decision in this regard.

The Federal Cabinet will take final decision about issue price of wheat and question of subsidy on staple food, official quarters said here on Monday.

The sources explained that matter of subsidy was in fact linked to issue price of wheat, adding, comprehensive summary in this regard would be submitted to the Cabinet for decision as early as possible.

The subsidy issue, sources observed, cannot be resolved, unless the question of wheat issue price is addressed. The difference of procurement and issue prices of wheat is being paid by the government as subsidy.

To a question, the sources stated that these matters would be resolved keeping in view the interests of the farmers, consumers and the government.

Speculations are making rounds for the last few weeks about the withdrawal of subsidy on wheat by the government which can consequently escalate the flour prices, imperiling the interests of the common man.

The government is mulling various options to address the matter following financial implications in this regard, sources added.

"No decision has yet been taken about issue price and question of subsidy on wheat," sources added.ÑAPP