FAISALABAD – The Punjab government, after protests from formers, has approved payment of delivery charges of Rs 7 per bag to the farmers during the upcoming wheat procurement program but the confusion over imposition of 17 percent GST on wheat still exists ahead of the procurement schedule starting from April 20. Earlier, Kissan Board Faisalabad officials and farmers staged protests in Samundary, Tandlianwala, Chak Jhumra and other places against the cancellation of delivery charges and imposition of 17 percent GST.
A recent report says that the Punjab government has directed all the districts to pay delivery charges of Rs 7 per bag to the farmers like previous years. Kissan Board Faisalabad Secretary Mian Ejaz Hussain called the approval of delivery charges a positive sign, but said the main problem was the imposition of 17 percent GST on wheat that would be deducted from their payments. “This is not acceptable to the farmers and we demand the government waive off this new tax that will surely compel the farmers to sell their product to middleman,” he said.
Meanwhile, the Punjab government has set a purchase target of 3.5 million metric tons of wheat from the farmers for the year 2011-2012, said Punjab Food secretary Irafan Ellahi during his visit to Faisalabad last week. “All the arrangements have been finalized to start the wheat procurement campaign scheduled for April 20,” he announced. The food secretary said the government purchase price for 40 kilograms of wheat is Rs 950. He confirmed that Food department has completed preparations to arrange Bardana (jute bags) for onward distribution to farmers.
