The Competition Commission of Pakistan (CCP), invoking its powers contained in Section 29(c) of the Competition Ordinance, 2009, held an open hearing at a local hotel to invite the views of the general public and all stakeholders on the recurring wheat shortage and subsequent price increases with respect to anti-competition aspects related to the issue. The purpose of the hearing was to hear the complaints and perspectives from the various stakeholders to better inform policymakers with respect to fostering healthy competition in the market for wheat. The hearing was chaired by the Chairman CCP, Mr. Khalid Mirza, and attended by dozens of members of the public and also the main stakeholders, both from the private and public sector. Private sector participants included representatives from the Pakistan Flour Mills Association’s (PFMA) Punjab and Balochistan chapters, private wheat importers, the Farmers’ Association of Pakistan (FAP), Agri-Forum Pakistan, and others from the agricultural sector. There was also significant representation from government organizations including from the Ministry of Food and Agriculture (MINFA), the Punjab Food Department, Pakistan Agricultural Storage and Supply Corporation (Passco), and Pakistan Agricultural Research Council (PARC). All the stakeholders were invited to share their complaints, views and suggestions with respect to Pakistan’s wheat production, supply and pricing and its refinement into flour, which is the staple of the Pakistani diet. The different stakeholders all advocated a more free-market oriented approach to wheat production and supply in the country. Issues discussed included matters related to the Minimum Guaranteed Price (MGP), overall production capacity, input subsidies for wheat growers, inter-provincial wheat supply and demand, storage capacity constraints, the import and export of wheat, average grinding costs, and the pricing of flour. Once all the stakeholders had been provided an opportunity to share their viewpoint, Chairman Khalid Mirza invited written submissions from all parties to be submitted within ten days of the hearing. Once it has received and evaluated all written submissions, the CCP shall issue a considered opinion on the wheat and flour production, supply and distribution market from a pro-competition perspective. The CCP is a body charged with ensuring free competition in all spheres of commercial and economic activity and has in the past taken timely and strong action against anti-competitive practices in various sectors of the economy.
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