Wheat Markets and Price Stabilisation in Pakistan: An Analysis of Policy Options
This article provides a quantitative analysis of the effects of Pakistan government domestic wheat procurement, sales, and trade policies on wheat supply, demand, prices, and overall inflation. Analysis of price multipliers indicates that increases in wheat procurement prices (one means of promoting domestic procurement) have relatively small effects on overall price levels. Partial equilibrium analysis of wheat markets suggests that fluctuations in production, rather than market manipulation, are plausible explanations for price increases in recent years. Comparisons of domestic and international prices suggest that promoting private sector imports is one alternative for increasing supply and stabilising market prices, particularly in years of production shortfalls. Overall, this paper concludes that market forces play a dominant role in price determination in Pakistan, and that policies that promote the private sector wheat trade can both increase price stability and reduce fiscal costs
|Date of creation:||2006|
|Date of revision:|
|Contact details of provider:|| Postal: P.O.Box 1091, Islamabad-44000|
Web page: http://www.pide.org.pk
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Rizwana Siddiqui & A. R. Kemal, 2006.
"Poverty-reducing or Poverty-inducing? A CGE-based Analysis of Foreign Capital Inflows in Pakistan,"
2006:2, Pakistan Institute of Development Economics.
- Siddiqui, Rizwana & Kemal, A R, 2006. "Poverty-reducing or Poverty-inducing? A CGE-based Analysis of Foreign Capital Inflows in Pakistan," MPRA Paper 2283, University Library of Munich, Germany.
- Rizwana Siddiqui & A. R. Kemal, 2006. "Poverty-reducing or Poverty-inducing? A CGE-based Analysis of Foreign Capital Inflows in Pakistan," Development Economics Working Papers 22219, East Asian Bureau of Economic Research.
- Steven Haggblade & Jeffrey Hammer & Peter Hazell, 1991. "Modeling Agricultural Growth Multipliers," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 73(2), pages 361-374.
- Roland-Holst, David & Tarp, Finn, 2003. "Globalization, Economic Reform, and Structural Price Transmission: SAM Decomposition Techniques with an empirical application to Vietnam," MPRA Paper 29367, University Library of Munich, Germany.
- Dorosh, Paul & Valdés, Alberto, 1990. "Effects of exchange rate and trade policies on agriculture in Pakistan:," Research reports 84, International Food Policy Research Institute (IFPRI).
- Dorosh, Paul A., 2001. "Trade Liberalization and National Food Security: Rice Trade between Bangladesh and India," World Development, Elsevier, vol. 29(4), pages 673-689, April.
- Paul Dorosh & Muhammad Khan Niazi & Hina Nazli, 2003. "Distributional Impacts of Agricultural Growth in Pakistan: A Multiplier Analysis," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 42(3), pages 249-275.
When requesting a correction, please mention this item's handle: RePEc:pid:wpaper:2006:5. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Khurram Iqbal)
If references are entirely missing, you can add them using this form.