Punjab Unveils Rs15 Billion Support Package for Wheat Farmers

The Punjab government has announced a Rs15 billion support package for wheat farmers as wheat prices continue to fall during the harvest season. Many farmers have been protesting across the province. Under this package, 550,000 wheat farmers will get direct financial help through the Kisan Card under the newly created Wheat Support Fund.

The government also announced that wheat farmers won’t have to pay the irrigation or fixed tax this year. To protect wheat from climate issues and market pressure, the government will give free Electronic Warehouse Receipt (EWR) storage for four months.

Punjab has decided to start the EWR system across the province. Under this system, farmers will receive an electronic receipt after storing wheat. Within 24 hours, they can use this receipt to get loans from banks up to 70% of the wheat’s value.

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The government will also pay the markup on loans up to Rs100 billion taken from the Bank of Punjab by flour mills and green license holders to buy wheat. The cabinet will be asked to approve compulsory wheat purchases by these groups. Storage of at least 25% of total capacity is now mandatory.

Punjab will also contact the federal government to allow wheat and wheat product exports. The Bank of Punjab will help private businesses build and repair wheat storage facilities. The province will pay Rs5 billion as markup for storage-related loans. Also, the ban on wheat and flour transport across districts and provinces has been lifted.

Chief Minister Maryam Nawaz said she won’t let farmers bear any losses. Last year, Punjab didn’t buy wheat due to the caretaker government decisions and grain imports, causing wheat prices to drop.

However, farmer groups are not happy. Farooq Tariq from Pakistan Kissan Rabita Committee said, “This Rs15bn package is aimed at benefiting the feudal lords and influential persons and not farmers.” Khalid Hussain Baath from Farmers Itehad also rejected the plan, saying it only helps capitalists. He said small farmers don’t have storage facilities, so the EWR system is bound to fail.

Baath said, “This package isn’t for wheat procurement, it’s a vehicle for corruption.” He claimed Rs5 billion will benefit big businesses, not farmers. He added that dismantling systems like Passco and the Food Department will hurt the farming community.

“There is no official wheat price set, and farmers are left to face exploitation,” Baath added. “We urge the chief minister and the PM to immediately review this decision.”