CM Punjab Announce Rs 15 billion wheat package For Farmers
The Chief Minister of Punjab, Maryam Nawaz Sharif, has announced a historical relief package of 15 billion rupees to support wheat farmers in dire need across the province. The 15 billion wheat relief package is designed to address the challenges that over 550,000 wheat farmers face amid falling prices, rising input costs, and climate related risks. The announcement is said to be one of the biggest state interventions in recent history for stabilizing the wheat sector and uplifting it. The announcement of the Rs. 15 billion wheat package comes at a time when unrest among farmers was growing due to a crash in prices at harvest time and increased cost of production.
Maryam Nawaz Sharif stated, “Our farmers are our strength. We will not allow them to suffer losses. Any farmer who has cultivated wheat will be fully compensated,” adding that the package reflects the government’s commitment to the agricultural community. In addition to providing them with immediate financial relief, this would also pave the way for sustainable wheat production in the province of Punjab.
وزیراعلیٰ پنجاب مریم نواز شریف نے گندم کے کاشتکاروں کے لیے 15 ارب روپے کا تاریخی ریلیف پیکیج کا اعلان کیا ہے۔ یہ پیکیج 5.5 لاکھ سے زائد کسانوں کو گرتی قیمتوں، بڑھتے اخراجات اور موسمی خطرات کے باعث درپیش مسائل کے حل کے لیے دیا جا رہا ہے۔ مریم نواز نے کہا کہ کسان ہماری طاقت ہیں اور ہر گندم کاشت کرنے والے کو مکمل معاوضہ دیا جائے گا۔ یہ اقدام پنجاب میں زرعی شعبے کی بحالی کی جانب ایک اہم قدم ہے۔
Cash Transfer by Kisan Card
One important provision of the CM wheat relief package is the direct transfer of cash through the Kisan Card. This process guarantees that financial aid reaches the beneficiaries directly without any leakage or time delay. A fixed amount is provided per acre cultivated for each of the wheat farmers eligible, as Rs 5,000 per acre was recently announced by the government under a larger package for support. For example, this means Rs 25,000 under this current scheme for a farmer growing wheat on 5 acres. This direct assistance supports with easing input costs such as fertilizers, seeds, and labor that have shot up over the years.
Tax Relief and Its Significance
A comprehensive exemption from irrigation taxes and other fixed taxes during the current wheat season is included in the 15 billion relief package provided for the population of Punjab. Such tax relief is significant as it cuts down directly on farmers’ operational costs, almost all of whom operate on thin profit margins. The purpose of the exemption is to relieve them from liquidity pressure during the current season of low market prices and high input costs.
The 15 billion Relief Package for Wheat Farmers
The CM Punjab wheat package entails a well-developed program which includes:
- Direct Cash Grant: This would provide cash support for over 550,000 wheat farmers using the Kisan Card system to meet input costs, including seeds, fertilizers, and labor.
- Tax Exemptions: Exemption from water and fixed taxes during the current wheat season shall avail relief to them.
- Free Storage Facility: Wheat harvested will be kept free for four months under the Electronic Warehouse Receipt (EWR) system to protect it from damage due to the weather and fluctuations in the market.
- Electronic Warehouse Receipt System: Those who store their wheat under the EWR system on behalf of the farmer have the advantage of being issued electronic receipts that serve as collateral for obtaining loans of up to 70% of the value of it within 24 hours.
- Markup Subsidy on Loans: The Government bears a Rs 5 billion markup subsidy on loans of flour mills and green license holders regarding wheat procurement, amounting to Rs 100 billion.
- Mandatory Procurement: Flour mills and license holders will now be bound to purchase at least 25% of their wheat needs directly from farmers, in this way guaranteeing continuous demand.
- Lift Transport Bans: The district transport and inter-provincial transport and flour have been removed to facilitate their access in the market.
- Warehouse Financing: Bank of Punjab will give financial assistance for the construction and rehabilitation of its storage warehouses, with markup costs up to Rs 5 billion to be borne by the provincial government.
The Wheat Support Fund
This works as the financial arm of the 15 billion wheat package, the fund is meant for direct payment and subsidy disbursement to producers.. The fund works under the Kisan Card system, thus ensuring a transparent and timely way possible funding. Also working alongside this fund is the Electronic Warehouse Receipt system, which propagates the modernization of its storage and financing: the farmers are granted digital receipts against their stocks, which can further be used for fast procurement of bank loans. This will, to a great extent, reduce reliance on middlemen and empower them.
15 billion Wheat Package to Benefit Feudal Lords
Meanwhile, Pakistan Kissan Rabita Committee general secretary Farooq Tariq rejected the government`s package, arguing farmers are demanding a Rs4,000 per maund rate. Tariq claimed this Rs 15 billion relief package is to benefit the feudal lords and influential persons and not farmers. Farmers’ Itehad central chairman Khalid Hussain Baath has also rejected the package. “This is no package for farmers, but for capitalists. EWR is to benefit the rich while punishing the small farmer,” he said. “Farmers in the villages don`t have storage facilities- such a system is bound to fail. CM Punjab wheat package is not for grain procurement; it is a vehicle for corruption,” he said. These Rs 5 billion are to be paid in advance to capitalists. Flour mills and green license holders will be the real beneficiaries under the scheme, not us. The EWR system is economically exterminating them. In pulling the plugs on Passco and the Food Department, the government is inviting disaster. The farmer has been denied both price and guarantees,” he pronounced. “Not a single official rate has been declared are left on the mercy of exploitation. This is not just a relief scheme but a continuation of anti-farmer measures. We demand that the chief minister and the PM shall re-examine this decision immediately”.
پاکستان کسان رابطہ کمیٹی کے جنرل سیکریٹری فاروق طارق نے حکومت کے 15 ارب روپے کے کسان ریلیف پیکیج کو مسترد کر دیا ہے، ان کا کہنا ہے کہ کسان 4000 روپے فی من کی قیمت کا مطالبہ کر رہے ہیں۔ ان کے مطابق یہ پیکیج جاگیرداروں اور بااثر افراد کو فائدہ پہنچانے کے لیے ہے، نہ کہ چھوٹے کسانوں کے لیے۔ کسان اتحاد کے چیئرمین خالد حسین باث نے بھی پیکیج کو سرمایہ داروں کے حق میں قرار دیا۔ انہوں نے کہا کہ کسانوں کے پاس ذخیرہ کرنے کی سہولیات نہیں اور یہ نظام کرپشن کا ذریعہ بنے گا۔ حکومت کا فیصلہ فوری نظرثانی کا مطالبہ کیا گیا ہے۔
Support for Flour Mills and Green License Holders
Financial assistance to flour mills and green licenseholders is also part of the CM Punjab wheat package aimed at stabilizing the market. The government has earmarked Rs 1 billion to subsidize the markup on loans taken by these stakeholders from the Bank of Punjab. This would help encourage mills to buy grain directly from them, at reasonable prices, thus smoothing up the supply chain and cutting down exploitation by intermediaries. Further, the government has made it mandatory for flour mills to purchase at least 25% of their requirements from local producers, ensuring greater market security for them.
Conclusion
CM Maryam Nawaz Sharif announcing the 15 billion wheat package, announces that it will have a history in agriculture. It upholds and augments by the direct financial assistance and tax relief provided with establishing storage innovations and market reforms while protecting against economic shocks to enhance a system resilient as well as sustainable wheat production. This 15 billion relief package has set the standard forever as far as government support is concerned and, indeed, spells out the realism of agriculture in the economy of Pakistan.
