ECC Approves Surplus Wheat Sale to Reduce Storage Costs

On Tuesday, February 24, 2026, the Economic Coordination Committee (ECC), chaired by Finance Minister Muhammad Aurangzeb, approved a major plan to offload surplus wheat stocks. The move is designed to curb rising storage costs and stabilize the national wheat market as the next harvest season approaches.

Competitive Bidding for PASSCO Stocks

The committee authorized the Pakistan Agricultural Storage and Services Corporation (PASSCO) to dispose of 500,000 metric tons of wheat through competitive bidding.

• Mechanism: The sale will follow a First-In-First-Out (FIFO) basis, ensuring older stock is sold first to prevent spoilage.
• Revised Pricing: After an earlier attempt to sell the wheat failed due to low bids, the ECC slashed the reserve prices to attract buyers:
  • Local Wheat: Revised to Rs 4,150 per 40 kg.
  • Imported Wheat: Revised to Rs 3,800 per 40 kg.

Development Funding for Punjab & KP

The ECC also approved a Technical Supplementary Grant of Rs 536 million for projects originally under the defunct Pakistan Public Works Department (Pak-PWD).

• The Transfer: Since Pak-PWD has been dissolved, these funds will be handed over to the provincial governments of Punjab and Khyber Pakhtunkhwa to ensure ongoing development schemes are completed without interruption.

The Wheat Policy Shift

This decision comes as the federal government prepares a comprehensive Long-Term Wheat Policy (2026–2030). Key highlights of the broader strategy include:

• Procurement Price: The indicative price for the upcoming harvest has been set at Rs 3,500 per 40 kg to support farmers.
• Digital Reforms: The new policy will introduce digital traceability to monitor supply chains and prevent hoarding.
• Ramadan Relief: Provinces have been directed to intensify market monitoring to ensure flour prices remain stable during the holy month.

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