Flour mills in multiple cities across the country, including Karachi, began a strike today (Thursday) in protest against a newly-imposed withholding tax. This action has raised concerns about a potential flour crisis due to the shutdown of wheat grinding facilities nationwide.
Aamir Abdullah, Chairman of the PFMA South, announced the commencement of an indefinite strike, resulting in a complete halt in flour supply from all mills, including those in Karachi. The strike is also expected to significantly affect the supply of bran to livestock in buffalo colonies.
The Pakistan Flour Mills Association (PFMA) leaders pointed out that the government has increased the withholding tax in the 2024–2025 budget by as much as 5.5% across various points in the staple food supply chain, thereby increasing product costs.
With the supply chain disrupted by the walkout, concerns are already mounting about a potential national shortage of flour. Furthermore, more than 250 flour mills in Khyber Pakhtunkhwa, including those in Peshawar, have ceased operations.
The PFMA cautioned that unless the deadlock between the government and the association is resolved, there is a risk of acute shortages of flour in the market. As a result of the strike, production of flour bags weighing 5kg, 10kg, and 20kg has ceased from today onwards.
