Shehbaz Sharif’s policies brought a miraculous change in food industry

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The previous ruling parties had left nothing in surplus funds in the province which was under heavy debt. Shehbaz Sharif raised funds to the tune of billions of rupees through public-private partnership arrangement.

The Punjab Enabling Environment Project (PEEP) and the Punjab Food Department (PFD) are modernizing the provincial agriculture sector with 200 new silos to ensure food security, price stabilization and storage of grains according to the international food standards.

ISLAMABAD, Sept 22 (TNS): Shehbaz Sharif conceived fruitful plans to combat daunting food problems in Punjab. He strengthened Punjab’s economy by adopting methods which helped create a miraculous change in food industry.

The previous ruling parties had left nothing in surplus funds in the province which was under heavy debt. Shehbaz Sharif raised funds to the tune of billions of rupees through public-private partnership arrangement.

The Punjab Enabling Environment Project (PEEP) and the Punjab Food Department (PFD) are modernizing the provincial agriculture sector with 200 new silos to ensure food security, price stabilization and storage of grains according to the international food standards.

The first investment seminar, held at the Lahore Chamber of Commerce and Industry (LCCI), attracted potential investors and private sector stakeholders interested in investment opportunities in the transformation of wheat storage from bag to bulk.

Through the Transaction Advisory Services Program, USAID assisted the Punjab Food Department in developing a proposal for construction of grain silo storage facilities under a public-private partnership arrangement.

The investment seminar provided the perfect forum for the Punjab Food Department to launch this initiative after the Public-Private Partnership Cell of the Planning and Development Department approved Phase 1 of this project.

The launch welcomed the private sector to partner with the Punjab Food Department in an investment opportunity valued at $40 million for the construction of 40-grain silos.

The Punjab Food Department was entrusted by the Government of Punjab to establish 200 near-farm wheat silos with a capacity of around 2 million metric tons to ensure safety, security, and optimal nutrition of stored wheat throughout the year.

Partnership with USAID helped achieve this milestone by generating private sector investments and creating job opportunities.

Food Department was created in the 2nd World War during 1945 to meet the deficiency of food in India.  Initially its name was Civil Supplies Department and used to supply a number of articles including atta, wheat, rice and sugar.  A number of items used to be distributed even after creation of Pakistan.  Lastly only three items i.e. sugar, rice and atta used to be distributed through rationing by the Food Department.

During 1984-85 sugar was de-rationed in Junejo regime and finally atta and rice were also de-regulated during 1986. With this, rationing system was completely abandoned. However, it was decided that government may continue procuring wheat at support price and supply to the flour mills at subsidized rates and subsidy may be withdrawn gradually within next few years.

Unfortunately price of atta became very sensitive issue and rulers could not gather political will to withdraw subsidy.  Since then, subsidy is continuously paid, quantum of which continued to vary with the quantity of imported wheat consumed, increase in rates of transportation, increase in prices of jute bags,  and mark up rate charged by the banks on the loans obtained by the Food Department.

The vision of Food Department is to improve the quality of life of citizens of Punjab by providing them quality flour at reasonable prices while safeguarding the interests of wheat growers by ensuring them minimum guaranteed price for their produce.

In 2015-2016 food department purchased 40 tons wheat at the cost of Rs130 million and 337 purchasing centers were established in the whole province to facilitate farmers and growers for marketing. Bulk storage sites were established in Lahore, Sahiwal, Bahawalpur, Bahawulnagar, Muzafargarh and Rajanpur for the storage of wheat. For providing better cost of wheat for the farmers, additional supporting cost was allocated by the respective department.

Flour mills were provided wheat for the availability of Atta and other products in in market with the fair prize for the citizens.

In 2010, 909000 tons wheat was exported. There was an agreement between the food department of Punjab and KPK for the export of 1.5 lakh metric tons wheat. 20 lakh tons wheat stock was to be there before the purchasing of fresh wheat.  In the year 2012-2013 the department had the stock of 50 lakh tons after the purchasing of the fresh crop (wheat).

In the whole province 44 sugar mills were recovered and Trading Corporation of Pakistan possess the stock 1130692 metric tons sugar. The Finance Department had given Rs1083764169 in the category of Sugarcane Development Fund for crushing season.

To protect public health, to provide for the safety and standards of food Punjab Food Authority Act, 2011 was approved. For the food authority non official members and a General Food Authority were nominated. For providing bread for the poor people Atta was provided on discount rates. From the year 2008-2010 423,260 metric tons wheat were provided, 32,4777 million flour sack of 20 kg each were given with the subsidy of  Rs10, 386.71.

Ramzan package was started by the Food Department Punjab in the holy month of Ramadan. In 2009-10, 10 and 20 kg flour were provided with 100 and 200Rs respectively while in market the cost of the 20kg flour was Rs450. For this purpose 1500 trucking points were established and 0.399 metric tons wheat was provided by the Food Department of Punjab. Cheap Ramzan and model bazars were also established. In 2010 under the Ramzan package 40kg atta cost was 400Rs and 20kg atta was available in 200Rs. Moreover 0.30 million metric tons of wheat were provided to the customers on discount rate with the subsidy of Rs3.123 billion.

Farmer’s friendly policy was formulated to provide better price for growers and for the assurance of the food supply in the whole province. In 2009 the supporting prize was raised from Rs625 per 40 kg to Rs950 per 40kg where the department purchased 5.78 million metric tons and stored. The role of middle man was eliminated while purchasing wheat from growers.

Wheat was provided for the World Food Program and 0.1 metric tons wheat was provided to the flood affected people, more 70,000 metric tons were supplied. Free Atta and wheat seeds were also provided to the flood affected areas.

In 2010 the food department of Punjab provided 50kg of wheat per acre for the growers of the districts affiliated with Indus River. 0.045 metric tons wheat seeds were distributed among farmers.

For the safer storage, wheat was shifted to the surplus districts like Rawalpindi, Gujranwala, and Lahore division. All flour mills throughout Punjab were provided wheat on fix prize through private transporter. For the international transportation of wheat Rs1145.60 were invested in 2008-2009, Rs1766.63 million in 2007-2008 and Rs1045.49 were invested in 2006-2007. To avoid extra expenditures the transportation of wheat from other districts the responsibility was given to the flour mills.

For the storage of wheat silos were constructed in the district of Lahore, Rajanpur and DG Khan. In public sector 0.3 metric tons and government sector 0.10 metric tons capacity was increased. For making silos an agreement was done with the International Finance Corporation (IFC) with the purpose of the storage of 0.8 metric tons with the private partnership.

The Punjab food Authority (PFA) has been working as a functional entity in district Lahore since 2nd July 2012. Enforcement of food hygiene and quality standards as described in the Punjab Food Authority Act 2011 and the Pure Food Rules 2011 is carried out through a qualified team of Food Safety Officers (FSOs’) and Assistant Food Safety Officers (AFSOs’). The functionality of field teams at the district level is being supervised by the Deputy Director (Operations).


Punjab Food Authority aims to ensure food safety & quality in the entire food chain in collaboration with manufacturers, Food Business Operators, consumers, government departments, autonomous bodies and other stakeholders and it aims to ensure safety and quality of all the food items and products.”

In 2012 301 licenses were issued by the PFA. The order was given to 2198 hotels, bakeries and food manufacturers to improve the food quality. Rs1704000 fine was allocated for the rules violation, 2309 samples from the food manufacturers were tested and around 28 hotels were closed for not following the health rules.

In 2013, 4330 food operators were given license and 14832 hotels were given orders to improve the food quality, Rs7260100 fine was imposed, 10373 samples were tested and 115 hotels were sealed.

In 2014 9990 licenses were issued and 24747 hotels were given improvement orders, Rs9153500 fine, 10777 food samples were tested and 2184 hotels, restaurant and shops.

In 2015, 12702 licenses were issue to the food operators according to the rules. 28024 hotels and bakeries were given orders to make improvements, for disobeying Rs19897700 fine, 6302 samples were tested and 3025 hotels and restaurants were sealed for proving low quality food.

In 2016 9684 licenses were issued by PFA Rs16373600 fine was imposed for violating the various rules, 2393 food materials from different hotels, bakeries and restaurants were tested and 1578 hostels, restaurants and shops were sealed.