Islamabad, Apr 17, 2025: In a major move to protect farmers from the ongoing slump in wheat prices during harvest season, the Punjab government has rolled out a Rs15 billion relief package aimed at supporting wheat growers across the province.
Farmers in various districts had been staging protests, demanding urgent intervention as prices plunged below expectations.
As part of the support initiative, nearly 550,000 wheat cultivators will receive direct financial aid via the Kisan Card under the newly introduced Wheat Assistance Fund.
In a bid to provide further ease, the government has waived off all irrigation and fixed land taxes for wheat farmers this year.
To shield both farmers and their produce from the impacts of market fluctuations and unpredictable weather, the administration is offering free warehousing for up to four months.
The Electronic Warehouse Receipt (EWR) system will facilitate this process — a digital solution that enables farmers to obtain a bank loan equal to 70% of the stored wheat’s value within just 24 hours of deposit.
Read More: Punjab Farmers Protest Wheat Price Injustice
Additionally, the government will subsidize interest payments on loans worth up to Rs100 billion taken by flour mills and licensed wheat buyers from the Bank of Punjab, aimed at boosting local procurement.
The cabinet is set to approve a mandate that requires flour mills and licensed entities to purchase wheat and store at least 25% of their total capacity.
Punjab also plans to collaborate with the federal government to explore wheat export options, while the private sector will receive bank funding for building modern storage infrastructure.
The government has lifted the restriction on wheat and flour transport across provincial and district borders to make grain movement easier.
Chief Minister Maryam Nawaz has vowed that the government will not allow growers to face financial losses like last year, when imports disrupted local demand and pushed prices down.
However, several farmers’ associations have criticized the package.
They argue the benefits will likely go to landlords and large-scale investors, not small-scale rural farmers.
Critics claim the EWR system is impractical for those who lack access to secure storage, and that the policy fails to guarantee fair minimum prices for wheat.
Farmer groups are now calling on the Punjab leadership to review the strategy and ensure genuine relief reaches the hands of actual growers, not just corporations and middlemen.