The Central government’s Department of Food and Public Distribution announced on Thursday that it is closely monitoring wheat prices and holds sufficient reserves to stabilize the market if prices begin to rise. The government has also developed an action plan to prevent hoarding by unscrupulous individuals aiming to inflate prices artificially.
During this year’s rabi marketing season, India has produced an estimated 112 million tonnes of wheat. The Food Corporation of India (FCI) has procured approximately 26.6 million metric tonnes (LMT) of wheat as of June 11, during the current marketing season.
“After fulfilling the requirements for the Public Distribution System (PDS) and other welfare schemes, which total approximately 18.4 million metric tonnes, there will still be ample wheat stock available for market interventions whenever necessary,” the Food Department stated. Buffer stocking norms, which vary each quarter, showed that as of January 1, 2024, wheat stock stood at 16.35 million metric tonnes, surpassing the prescribed buffer norm of 13.8 million metric tonnes.
The government assured that wheat stock levels have consistently remained above the quarterly buffer stock norms. Furthermore, the statement confirmed that there is currently no plan to modify the duty structure on wheat imports.
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