Wheat Prices

Wheat markets are also anticipating a decision on imports in the near future if prices continue to remain high

The government on Wednesday further tightened wheat stock holding norms for wholesalers, small and big chain retailers, and processors to curb hoarding and check price rise. "As part of continuous efforts to moderate prices of wheat, the central government has decided to revise the wheat stock limit applicable until 31st March 2025," the food ministry said in a statement. According to the revised norms, wholesalers are now allowed to maintain wheat stock up to 1,000 tonne instead of 2,000 tonne, retailer can hold 5 tonne for each outlet instead of 10 tonne, while big chain retailer can hold 5 tonne for each outlet instead of 10 tonne earlier. Processors will be allowed to maintain 50 per cent instead of 60 per cent of their monthly installed capacity multiplied by the remaining months till April 2025. The stock limits on wheat were first imposed on June 24 and later revised to tighten the norms on September 9 in order to manage the overall food security and to prevent hoarding and

Mustard acreage was down as farmers seem to be shifting towards other crops due to better returns

The record prices are likely to lift retail inflation that surged to a 14-month high in October, driven by a jump in vegetable prices and dashing hopes of an interest rate cut by the RBI next month

The government on Tuesday launched phase-II retail sales of wheat flour and rice under the Bharat brand at subsidised rates to provide relief to consumers from high prices. Wheat flour (atta) will be sold at Rs 30 per kg and rice at Rs 34 per kg in 5kg and 10kg packets through cooperatives NCCF, Nafed and Kendriya Bhandar and e-commerce platforms. "This is a temporary intervention to provide relief to consumers," Food Minister Pralhad Joshi said after flagging off the mobile vans of these cooperatives. The government has allocated 3.69 lakh tonne of wheat and 2.91 lakh tonne of rice from the Food Corporation of India (FCI) for the phase-2 retail intervention under the Price Stabilisation Fund. "This intervention will continue till the allocated stock gets exhausted. If more (is) required, we have enough stock and will allocate again," Joshi said. Under the new pricing structure, wheat flour will be available in 5kg and 10kg packs at Rs 30 per kg, while rice will be sold at Rs 34 p

Some farmers in exporting nations, such as Australia and Canada, are holding back sales in anticipation that prices will climb even higher

The millers argue that wheat prices at current levels of around Rs 2,700-2,800 per quintal are well justified, given that the MSP of the crop has been raised

Last year the government started selling wheat from its reserves in June, and between June 2023 and March 2024 it sold a record amount of nearly 10 million metric tons from stocks

The decision to re-impose the stock limit that ended in March 2024 was taken even though wheat production in FY24 is expected to be over 112 million tonnes

The government on Thursday said it will undertake suitable policy interventions to ensure stability in wheat prices for consumers in the country. After a meeting of the committee of ministers chaired by Home Affairs and Cooperation Minister Amit Shah, the government said it has directed officials to keep a close watch on wheat prices. Prices of wheat and wheat flour have increased by up to Rs 2 per kg from a year ago, according to the official data. As of June 20, the average retail price of wheat stood at Rs 30.99 per kg, up from Rs 28.95 a year ago, while wheat flour price rose to Rs 36.13 per kilogram as against Rs 34.29 per kg last year, the data showed. The ministers discussed the position of wheat stocks and prices in detail during the meeting. In a statement, the Food and Consumer Affairs Ministry said, "The Union Minister directed that a close watch may be kept on the prices of wheat and suitable policy interventions to be undertaken to ensure price stability for the consu

A drop in state procurement has fuelled the buzz about impending imports. Will that really be necessary?

Prices of some farm commodities have softened from their peaks, with state agencies also cracking down on hoarding and selling some grains from state reserves

Wheat procurement for the 2024-25 marketing year has surpassed last year's total of 262.02 lakh tonnes, boosted by strong contributions from the northern states of Punjab and Haryana, the government said on Friday. In a statement, the government said 262.48 lakh tonnes of rabi (winter)-sown grain has already been purchased for the central pool, benefiting 22.31 lakh farmers, with a minimum support price outflow of Rs 59,715 crore. The major procuring states were Punjab with 124.26 lakh tonnes, Haryana with 71.49 lakh tonnes, Madhya Pradesh with 47.78 lakh tonnes, Rajasthan with 9.66 lakh tonnes and Uttar Pradesh with 9.07 lakh tonnes. Wheat procurement normally runs from April to March, but the Centre this year allowed states to make purchases based on crop arrivals. In most states, the procurement began in early March. The government has set a wheat procurement target of 300-320 million tonnes for the 2024-25 marketing year. Rice procurement is also progressing smoothly, with 728

However, trade and industry officials say the world's second-biggest wheat producer won't be able to achieve its procurement target of 30-32 million tons

The government has buffer and strategic reserve norms that mandate holding wheat stocks at or above 7.46 million tons on April 1

Flour millers' estimate of 105.79 mt differs from the govt's 2024-25 projection of wheat production at 112 mt

India had imposed a limit on how much wheat stock traders could hold to moderate prices. However, the limit is set to expire on March 31st and after that, traders must declare their wheat stocks

The Union government said that the move is in a bid to manage the overall food situation and prevent hoarding and unscrupulous speculation

Wheat prices are ranging between Rs 2,700 and Rs 3,000 per quintal in the open markets of Madhya Pradesh. If the government fails to give bonus, wheat procurement is likely to fall short of the target

The government has sold 3.46 lakh tonnes of wheat and 13,164 tonnes of rice through e-auctions to bulk consumers as part of its effort to boost domestic supplies and control retail prices. The government is selling wheat and rice from its buffer stocks to keep retail prices under control under the Open Market Sale Scheme (OMSS). Food Corporation of India (FCI), the government's nodal agency for food grains procurement and distribution, is conducting the e-auctions. The Centre has allocated 101.5 lakh tonnes of wheat for the OMSS till March 2024. "The 26th e-auction was held on December 20 wherein 4 lakh tonnes wheat and 1.93 lakh tonnes rice was offered. In the e-auction, 3.46 lakh tonnes wheat and 13,164 tonnes rice was sold at a weighted average of Rs 2,178.24 per quintal for wheat and Rs 2905.40 per quintal for rice," an official statement said. To control the retail prices of rice, wheat and atta, the government is organising weekly e-auctions of both wheat and rice. The minim