Re: An ode to Shaukat Aziz
The government buys Atta and distributes it to retailers at a fixed price below fair market value (because fair market value is too high for the ordinary Pakistani to afford). The problem is that Atta is worth more outside Pakistan than inside Pakistan.
Therefore, it makes less sense to sell Atta to the Pakistani government to sell to Pakistan consumers than it does to smuggle the Atta outside, or to hoard it and sell on the black market until the price in Pakistan rises closer to international levels found in Afghanistan and Central Asia.
There's enough Atta inside Pakistan to feed everyone. Right now it is being hoarded and smuggled. Private companies and individuals, in their greed, don't want ordinary Pakistanis to get it because they are hoping to get more money selling it to others.
One thing I didnt get about your post is: "Therefore, it makes less sense to sell Atta to the Pakistani government to sell to Pakistan consumers than it does to smuggle the Atta outside, or to hoard it and sell on the black market until the price in Pakistan rises closer to international levels found in Afghanistan and Central Asia."
Why do Atta sellers need to sell to government first. Why can't they sell ATTA directly to consumers without DIRECT government involvement.
And why Is it possible to smuggle It out side of country. Why is government failing to control this situation?