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Wheat Prices In India Rise 14% In Few Weeks Due To Supply Issues: Report

Price of mill-delivered wheat in the country’s northern region has risen from a low of Rs 2,260-2,270 a quintal in June to Rs 2,300-2,350 now

Wheat prices in India have risen about 14 per cent in the past one-and-a-half month. It is because of the high demand from millers who will make products like maida, biscuits, flour and suji, and supply issues due to the monsoon season, according to a media report.

The price of mill-delivered wheat in the country’s northern region has risen from a low of Rs 2,260-2,270 a quintal in June to Rs 2,300-2,350 now, the ET report said. Traders said big companies and traders are holding their stocks and expecting the price to rise, whereas small farmers and traders have already sold out their stocks, according to the report adding that for the first time this year, wheat from state-owned Food Corporation of India (FCI) is not available for the millers.

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It also quoted Navneet Chitalangia, vice president of the Roller Flour Millers’ Association, as saying: “Wheat prices are going up almost every day, while the availability is extremely poor.”

Meanwhile, the central government has decided to restore rice procurement operations in the central pool (by FCI & by state under DCP) in Telangana, said Union Food and Public Distribution Minister Piyush Goyal while addressing media persons here. He criticised the Telangana government stating that the state government did not distribute ration to the poor in April and May under the Pradhan Mantri Gareeb Kalyan Ann Yojana (PMGKAY) despite repeated reminders from the Centre.

He reiterated that Centre is committed and concerned for the poor and the farmers. Shri Goyal added that through PMGKAY, the central government wants to ensure that no poor person is deprived of their right and get their full entitlement. “The Government of Telangana has already lifted considerable quantity (1.90 LMT) from DCP stocks against April and May, 2022 months, but the same has not been distributed thus depriving benefits to the beneficiaries of the Central Scheme,” the Minister added.

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He also shared the observations made by the Central Team during the physical verification (PV) of paddy. He said that on 31.03.2022, a list of defaulter millers where shortages had been noticed was communicated to the Telangana government to take immediate strict action as 4,53,896 bags were found short in 40 mills.

Again, on May 21, 2022, other observations were communicated to the state: Shortages of total 1,37,872 bags noticed in 63 mills i.e. 12 mills of KMS 2020-21 (Rabi) and 51 mills of KMS 2021-22 (Kharif) and iIn 593 mills i.e. 101 mills of KMS 2020-21(Rabi) and 492 mills of KMS 2021-22 (Kharif), the paddy was not stored in countable position due to which the PV of paddy stocks could not be completed.

Telangana has adopted the decentralised system of procurement, wherein the state government procures paddy on behalf of the central government. Paddy is procured by the state through its agencies from farmers. The resultant rice, after milling, is retained by the state for its own consumption under NFSA/ OWS and only surplus rice stock is delivered to FCI under central pool. All the expenditures for procurement and distribution for central schemes are borne by the Centre.

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