Reduction in the wheat subsidy of Gilgit Baltistan and the growing agitation amongst locals

The government of Pakistan announced unpleasant news for the people of Gilgit Baltistan in the later half of 2023 causing widespread discontentment for the people. The Pakistani government called for an increase in the price of wheat from PKR 21 to PKR 36 per KG in 2023.. This came into action when the federal government informed the provincial government of Gilgit Baltistan regarding the enforcement of targeted subsidy. due to the debilitating economic situation faced by the state. Gilgit Baltistan has a subsidized wheat quota in return for their alliance with the state of Pakistan, allocated to them in 1974 by the then Prime Minister Zulfiqar Ali Bhutto.

Ashaad Karim

1/21/20241 min read

Targeted Subsidy: A dilemma for Gilgit Baltistan

The move by Pakistan’s federal government faced a massive backlash from the locals within a few weeks of the increase in wheat prices. The center asked the GB provincial assembly for rationalize wheat subsidy. The chairman of Awami Action Committee’s (AAC) Baltistan wing Najaf Ali argued that “We completely reject the government’s decision to increase the wheat prices. Gilgit-Baltistan is a disputed region and the onus is on the government to provide subsidies on 28 things (wheat, salt, sugar, petrol and others) due to its territorial dispute.” As recorded by Arab News in their article has been a vocal advocate of the locals’ demanding a renunciation of the ‘targeted subsidy’ plan and calling the people to protest against the price hikes.

Revisiting History: Why a Special Subsidy for Gilgit Baltistan

The region has strategic significance for Pakistan because of being their only route to connect them with China, a close ally of the state. India, likewise claims the territory to be a part of their state since it was formerly a part of Kashmir, which consequently makes Gilgit Baltistan a disputed territory. Both of the states have been eyeing for territorial control over the region. The center allotted PKR 8 Billion for FY 23-24 against the subsidy which has already been exhausted after supplying approximately 90,000 tonnes of wheat against their quota.

Indeterminate Future Prospects

Despite the freezing temperature, people have taken to the streets for being neglected in all aspects of life by the state and having no space to raise their concerns and discuss the matter with the stakeholders because the locals have been deprived of the luxury to be part of the national assembly. It still remains unclear as to where this would lead the public along with the government. The protesters demand to have a fair share in the NFC award, internal autonomy to have the rights in policy making and the subsidy as devised by the UN. The people, already deprived of their fundamental rights to vote and representation in the national government, have been demanding equal opportunities at national level for their representation and to participate in policy making. The status of Gilgit Baltistan’s people has not been explained by the state as to whether they can establish a state subject rule or if they are a province because the provisional provincial status provides nothing in the sphere of politics and decision making for themselves.