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Thursday, July 03, 2008 E-Mail this article to a friend Printer Friendly Version

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Mill owners refuse to reduce flour prices

* Threaten shutdown if govt presses them to decrease prices

Staff Report


LAHORE: Flourmill owners on Wednesday refused to sell 20-kilogramme flour sack for less than Rs 400 and threatened to shut their mills in case of any government action against them.

Chief Minister’s Task Force Chairman SA Hameed has ordered all district co-ordination officers (DCOs) to control flour price and take action against those who are selling 20kg flour sacks for more than Rs 375.

The tussle between flourmills and the provincial government has created an artificial shortage of flour as retailers have refused to receive supplies from mills at higher rates.

Punjab Flourmills Association Chairman Habibur Rehman Leghari said flourmills would not decrease the price because the price of wheat in the open market had increased, adding that no government official had told them to reduce flour price.

Threaten: Lahore Flourmills Association Chairman Mian Riaz said flourmills would be closed if the government pressed them for decreasing the price. “The government should release wheat from its stocks, reduce fuel and electricity prices then ask mills to reduce flour price,” he said.

Retailer Muhammad Arif questioned how could they sell a 20kg sack for Rs 375 when mills were selling it at Rs 390.

He said City District Government Lahore officials were issuing fines to those traders selling flour at higher prices, adding that the government should force mills to reduce the price instead of fining retailers.

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