Food crisis looms large as flour millers strike enters 2nd day
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Pakistan
Strike starts after demands by millers to withdraw tax on flour go in vain
Shortage of flour and hike in prices is expected.
Flour millers demand withdrawal of withholding tax on flour
LAHORE (Dunya News) - The strike of Pakistan Flour Mills Association (PFMA) across the country enters second day and councerns about food crisis emerge.
A number of flour mills were eventually shut down on Thursday for an indefinite period in various parts of the country after the government failed to redress concerns of the PFMA regarding imposition of withholding tax on the commodity.
According to the PFMA, more than 1,500 flour mills across country have halted wheat washing and flour supply after the recent announcement of observing strike. The PFMA demands withdrawal of withholding tax on the flour.
The shortage and hike in flour prices is expected amid ongoing strike and suspension of flour mills operations.
It further said small scale flour dealers were also joining the chorus of millers in lodging their protest against the government.
In line with PFA's orders, as many as 73 flour mills in Gujranwala and more than 60 mills in Multan ceased their operations. More than 300 flour mills in Khyber Pakhtunkhwa are closed.
The PFMA spokesperson said the closure of flour mills would result in suspension of supply of 200,000 flour bags a day.
Besides, millers in Faisalabad, Khushab, Peshawar and Quetta complied with instructions of the PFMA by locking their mills.
FOOD CRISIS IN THE OFFING
The Pakistan Flour Mills Association (PFMA) on Wednesday announced strike against imposition of withholding tax by shutting down the mills for an indefinite period.
PFMA Punjab Chairman Asim Raza announced the decision of closure of flour mills, saying imposing tax on flour was unfathomable and unacceptable as it was an essential edible item used in every household of the country.
He said the flour millers would never become tax agents for the Federal Board of Revenue (FBR).
PFMA Central Chairman Chaudhry Amir Abdullah had announced suspension of flour mills' operations after deadlock with the government for not withdrawing the withholding tax on the flour.
"Instead of taxing the common man’s bread, the government should announce withdrawal of this unnecessary withholding tax," he said.
He lambasted the FBR for being unable to meet grinding tax targets and leaving the masses burdened with excessive taxes.