CRISIL SME Tracker: Wheat millers facing the heat as demand slumps

SMEs account for bulk of wheat mills in india in value terms

Small and medium enterprises (SMEs) in wheat milling, which sell loose and unbranded flour, have been left smarting as consumers gradually shift to packaged and branded flour instead.

To be sure, wheat is one of the largest crops in India and logged a production of 102 million tonnes in agricultural marketing year 2019. About half of the production is purchased in the form of grain while the remainder is processed into flour by wheat mills.

The wheat milling industry logged a compound annual growth rate of 5-6 per cent in revenue in the last three years.

SMEs