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PM URGED TO SET WHEAT SUPPORT PRICE TO AVOID $1B IMPORT BILL Friday, 25 October, 2024 I | 21 Rabi ul Sani, 1446
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Food ministry warns that not setting support prices and procurement targets might deter farmers from cultivating sufficient wheat for local consumption
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Rs 20.00 | Vol XV No 108 I 8 Pages I Lahore Edition
FinMin assured IMF to phase out govt pricing for agricultural commodities by 2026 ISLAMABAD
STAFF REPORT
HE Ministry of National Food Security and Research has appealed to Prime Minister Shehbaz Sharif to promptly declare a new wheat support price and establish procurement targets. The ministry warned that delaying this decision could lead to a $1 billion import bill due to insufficient local production. The ministry stressed the urgency due to the International Monetary Fund’s (IMF) stipulation that the government should minimize its involvement in agricultural markets. This has left farmers uncertain about future support prices and procurement targets, making it challenging to plan for the upcoming planting season. The ministry briefed Prime Minister Shehbaz that not setting a wheat price and securing procurement for the second consecutive year might deter farmers from cultivating sufficient wheat for local consumption, potentially necessitating over $1 billion in wheat imports.
In a recent IMF report, it was noted that both federal and provincial governments had preliminarily agreed to limit announcing support prices and procurement to essential food security measures only. Finance Minister Muhammad Aurangzeb affirmed a commitment to the IMF to phase out government pricing for agricultural commodities by fiscal year
Bushra Bibi reaches Peshawar after released from Adiala Jail RAWALPINDI
STAFF REPORT
PTI founder Imran Khan’s wife, Bushra Bibi reached Peshawar after she was released from Adiala Jail on bail on Thursday after remaining behind bars for 265 days. Following the development, PTI Chairman Barrister Gohar Ali Khan clarified on Thursday that Bushra Bibi’s release from jail was based on merit and was not the result of any deal. According to KP government officials, the Khyber Pakhtunkhwa police and protocol welcomed Bushra Bibi at Attock bridge. Chief Minister Khyber Pakhtunkhwa Ali Amin Gandapur and his Cabinet members accorded Bushra Bibi a warm welcome upon arrival at CM House Peshawar. According to sources, former PM Imran Khan had sent a message to Bushra Bibi through Barrister Salman Akram Raja, advising her to move to Peshawar instead of moving to Lahore which she had earlier decided. Bushra Bibi will stay at Chief Minister House in Peshawar. Bushra Bibi’s medical examination will be carried out in Shaukat Khanum Peshawar. Opposition Leader in National Assembly Omar Ayub Khan and Chief Minister Khyber Pakhtunkhwa Ali Amin Gandapur also persuaded Bushra Bibi to go to Peshawar instead of Lahore. Her release from Rawalpindi’s Adiala Jail came a day after the Islamabad High Court (IHC) granted her bail against surety bonds worth Rs1 million in the Toshakhana-II case. The former first lady was arrested after a court on January 31 convicted and sentenced the couple to 14 years in prison after finding them guilty of retaining and selling state gifts in violation of government rules (Toshakhana case) while Imran Khan was in power. Earlier in the day, the IHC finally issued the Robkar for the release of Bushra Bibi one day after she was granted bail in Toshakhana-II reference. Earlier, Robkar was written thrice, but each time there were errors in it. However, when it was drafted for the fourth time, it was free from mistakes and subsequently, the bail bonds were submitted as ordered by the court.
2026, highlighting that current policies create market distortions and discourage private sector activity. Despite these commitments, the Food Ministry has proposed three options to the prime minister: Setting a profitable support price and procurement targets for the 2024-25 Rabi season in consultation with provinces, Announcing no support price
but maintaining market-price procurement for this year Or deferring the decision to the Economic Coordination Committee. The ministry also informed that if the current policy persists, it could lead to a significant decrease in wheat sowing, exacerbating the need for imports and impacting the balance of payments. This situation is compounded by a general perception among farmers of reducing wheat cultivation due to policy uncertainties, potentially leading to a shortfall than in previous years. According to the ministry, the estimated production cost for wheat is around Rs3,312 per 40 kg as calculated by the Agriculture Policy Institute. Despite previous support prices designed to ensure farmers a profit margin of approximately 18%, the lack of consistent policy application has left farmers wary of future government support. To avoid these outcomes, the ministry emphasized the need for clear and immediate policy directives regarding wheat pricing and procurement from both the federal and provincial governments.
US congressmen write to Biden seeking to press Islamabad for PTI founder’s release g
Democratic lawmakers urge President to prioritise human rights in US policy towards Pakistan WASHINGTON AGENCIES
More than 60 members of the US House of Representatives have written a letter to President Joe Biden urging him to pressure Islamabad to release PTI founder Imran Khan. The congressmen stressed the president that efforts should be made to also secure release of other political prisoners in Pakistan. The former prime minister has been incarcerated since August last year after his conviction in several criminal case ahead of the February 8 elections. In their letter, the lawmakers belonging to the Democratic party urged President Biden to prioritise human rights in the US policy towards Pakistan. “We write today to urge you to use the United States’ substantial leverage with Pakistan’s government to secure the release of political prisoners including former Prime Minister Khan and curtail widespread human rights abuses,” they wrote. They also asked the US embassy officials to visit Imran in Adiala Jail. The letter marked the first such collective call from congressmen for the release of Imran, “who otherwise has had testy relations with Washington as a long standing critic of US foreign policy,” according to US Representative Greg Casar, who is one of the congressmen who wrote the letter. Casar noted that following Imran’s ouster from
the prime minister’s office through a no-confidence vote in 2022, multiple cases were filed against him and he has been in prison since August 2023. The letter also stressed on the US administration to seek assurance from the government of Pakistan about Imran’s safety and well-being in custody. The Democratic lawmakers also raised concerns about reported irregularities in Pakistan’s elections held on February 8 this year. Pakistan strongly reacts to US lawmakers’ letter to President Joe Meanwhile, Pakistan strongly reacted to the US lawmakers’ letter to President Joe Biden seeking release of Pakistan Tehreek-e-Insaf (PTI) founder Imran Khan, saying the move “contrary to interstate conduct and diplomatic norms”. This statement came from Foreign Office Spokesperson Mumtaz Zahra Baloch while responding to a query related to the Democratic lawmakers’ letter to US President Biden related to Pakistani politics during her weekly briefing at the Ministry of Foreign Affairs today. Baloch said, “Pakistan values its bilateral relations with the United States. We believe in constructive dialogue and engagement to address any concern.” “However, comments on Pakistan’s domestic affairs are contrary to inter-state conduct and diplomatic norms. We believe such letters and statements are counter-productive and not in line with positive dynamics of Pakistan-US bilateral relations.”
Pakistan formally requests $1b from IMF: finance minister CONTINUED ON PAGE 03
PROFIT AFP
Finance Minister Muhammad Aurangzeb told Reuters that Pakistan is targeting around $1 billion in a formal request for funding from the International Monetary Fund (IMF) facility that helps manage external shocks. “We have formally requested to be considered for this facility,” Aurangzeb said in an interview on the sidelines of the IMF/World Bank autumn meetings in Washington. The IMF agreed to a bailout for Pakistan last month but has further funding available via its Resilience and Sustainability Trust (RST). The country is also in talks with the Asian Infrastructure Investment Bank for a credit enhancement for a planned Panda bond, with an initial issue of $200-250 million. Pakistan is also hoping to finalise both the delayed privatisation of Pakistan International Airlines (PIA) and the outsourcing of Islamabad’s international airport in November, Aurangzeb said. He spoke to AFP at the World Bank’s headquarters in Washington. During a previous interview with AFP in April, Aurangzeb had said he hoped the privatisation of state-owned PIA could be completed by June 2024
Speaking on Wednesday, the finance minister said the five-month delay was down to two factors: ensuring macroeconomic stability, and doing the proper due diligence of the interested parties. “The reality is, when any foreign investor comes in, or even the local investor, who are going to put in a substantial amount of money, they want to ensure that the foundation is there,” he said, referring to macroeconomic factors. Aurangzeb noted that potential bidders for both PIA and Islamabad airport also required scrutiny, another factor in the delay. “Therefore it’s ultimately the cabinet which approved the extension in the timelines so people can do their due diligence before they make these submissions,” he said. Aurangzeb said Pakistan had been behind on existing profit and dividend repayments when the current government took office, and had taken steps to remedy that after making progress on macroeconomic stability. The country came to the brink of default last year as the economy shriveled amid political chaos following catastrophic 2022 monsoon floods and decades of mismanagement, as well as a global economic downturn. Inflation peaked at 38 per cent, but has since dropped to less than seven pc, after the central bank
maintained sky-high interest rates, amid other government tightening measures, including import bans to preserve foreign exchange. Last month, the IMF approved a $7 billion loan, Pakistan’s 24th such payout from the multilateral lender since 1958. Aurangzeb touted progress on the country’s current account deficit and the stabilisation of the rupee, which has depreciated against the US dollar by about 65pc since 2020. “In May and June on the back of this macroeconomic stability and building up on our reserves, we paid more than $2bn to our existing international investors,” he said. Pakistan’s gross public debt currently stands at 69pc of GDP, according to the IMF, or roughly $258bn. Alongside privatising state-owned
enterprises (SOEs), Pakistan’s IMF deal also rests on increasing its tax base, and reforming of the country’s power sector. Aurangzeb told AFP there was a common theme between all three major issues. “Tax, power, SOE: There’s leakage, there’s theft, there’s corruption, right?” he said. “And we have to deal with all of that.” But he dismissed media reports that the government was not serious about broadening its tax base, saying that the tax take had risen by 29pc in the last fiscal year, which overlapped with a prior caretaker government, and was targeted to rise by a further 40pc in the current fiscal year. In a nation of more than 240 million people where most jobs are in the informal sector, only 5.2m filed income tax returns in 2022. “People who are not paying up, they need to start paying for the simple reason that we have reached a saturation point of the people who are paying,” he said. “The salaried class, the manufacturing industry, reached a saturation point. And this cannot go forward,” he added. The government was also committed to doing a better job of taxing certain sectors of the economy, he said, naming real estate, retail, retail distributors, and agriculture.
COAS visits PAF base to witness multinational exercise Indus Shield-2024 RAWALPINDI
STAFF REPORT
Chief of Army Staff General Syed Asim Munir on Thursday visited a Pakistan Air Force operational base to witness the multinational exercise Indus Shield-2024, which features 24 air forces from around the world. General Munir praised the Pakistan Air Force’s readiness and modernization initiatives, observing various high-tech displays and an aerial showcase by PAF jets. He emphasized the importance of collaboration between military branches for operational success. Air Chief Marshal Zaheer Ahmed Baber Sidhu briefed General Munir on PAF’s modernization efforts, noting that the ongoing exercise will significantly boost the capabilities and cooperation of the participating nations.
Security forces eliminate nine Khwarij, including key leader, in Bajaur operation RAWALPINDI
STAFF REPORT
Security forces conducted an intelligence-based operation in Bajaur District, resulting in the deaths of nine Khwarij, including two suicide bombers and a key leader identified as Said Muhammad, alias Qureshi Ustad. According to the Inter-Services Public Relations (ISPR), the operation also led to the recovery of a significant cache of weapons, ammunition, and explosives. These individuals were reportedly involved in various terrorist activities targeting both security forces and innocent civilians. A sanitization operation is currently underway to root out any remaining Khwarij in the area. The ISPR reaffirmed the security forces’ commitment to eradicating the threat of terrorism from Pakistan. President Asif Ali Zardari praised the security forces for their successful operation in Bajaur District, stating that the nation stands united against terrorism. He emphasized the collective resolve of the people and security forces to thwart the plans of terrorists and reiterated Pakistan’s unwavering dedication to eliminating Fitnah Al Khwarij.
Nation tyrannised through enactment of 26th Amendment: Imran PTI founder terms 26th Constitutional Amendment ‘attack on Constitution’ during meeting with lawyers on IHC order ISLAMABAD
STAFF REPORT
Pakistan tehreek-e-Insaf (PTI) founder Imran Khan on Thursday termed the newly enacted 26th Constitutional Amendment that empowers parliamentarians to nominate chief justice, “attack on Constitution of Pakistan,” saying the nation has been tyrannised by this act. Faisal Chaudhry, the lawyers for PTI founder Imran Khan, told the journalists after a meeting of the PTI lawyers with its founder on the Islamabad High Court (IHC) orders on Thursday. Advocate Chaudhry said that the incarcerated former prime minister has expressed displeasure over the 26th Constitutional Amendment. He said that Khan refused to comment on appointment of Justice Yahya Afridi as next Chief Justice of Pakistan (CJP). Advocate Chaudhry informed that the former premier lauded the PTI workers and supporters for their sacrifices, adding that the PTI founder was not afraid of any adversity. He noted that they were making efforts to reduce hardships being faced by the PTI founder. Chaudhry claimed that the PTI founder is kept in a six by eight cell, adding that he has been subjected to psychological torture. “An application will be filed in IHC against the circumstances the former premier is being kept in.” Furthermore, he said Imran has instructed the leaders to lead from the front. For his part, PTI leader Shoaib Shaheen said that such “state terrorism” is unprecedented, adding that the jailed party founder was unaware of the passage of 26th Amendment and Justice Yahya’s appointment. “We informed him about the developments, including the bail of his wife Bushra Bibi,” he said, adding that Imran expressed satisfaction over his spouse’s release. The meeting came after the IHC ordered the Adiala Jail authorities to allow meeting between the incarcerated former premier and his lawyers. The order came against the backdrop of the PTI’s ongoing strenuous efforts to secure its founder’s release. Earlier, the court ordered the Adiala jail administration to present the PTI founder at 3pm today. “Bring the PTI founder, he will have a meeting with his lawyers,” said the IHC during the hearing of a contempt of court case against the Adiala Jail superintendent.