Wheat at lowest level in North and Central India due to bad weather, prices fall

The impact of heavy rain in northern and central India is currently being observed in the grain markets of these regions. The quality of wheat crops reaching the markets has seen a significant decline due to unseasonal rainfall and hailstorms. Although experts suggest that the condition of the wheat crop may improve in the coming days, there is no need for concern regarding the wheat supply. The Food Corporation of India (FCI) has a sufficient stock of wheat.

Breaking a 6-Year Record: Ashok Meena, the Managing Director of FCI, mentioned that the FCI has procured 7 lakh metric tons of wheat in the month of April, which is a record in itself. In the last six years, only 2 lakh metric tons of wheat were procured during the early weeks of April. As of April 1, the government's wheat stock was at 8.4 million metric tons. He further stated that FCI aims to procure 34.2 million metric tons of wheat in this season. Ashok Meena also assured that there won't be a significant increase in wheat prices in the market.

Lowest Wheat Stocks in Six Years: In several states, including Madhya Pradesh and Rajasthan, farmers are delivering wheat to the markets. However, due to unseasonal rainfall, hailstorms, and strong winds, the quality of the crop has been adversely affected. Yet, the government's stock of old wheat has reached its lowest point in six years as of April 1, with 8.51 million tons in the central pool, which is the lowest for early April in six years. The government claims that this won't lead to any shortages. Wheat procurement has begun in Punjab and Haryana, and this year's bumper wheat production is expected.

Reduction in Wheat Prices: In January, there was a significant surge in wheat prices. Prices were on the rise, and stocks in the markets were running out. This was causing a sharp increase in the prices of wheat and wheat products. To control inflation, the central government decided to sell wheat through e-auctions. So far, FCI has already sold more than 4.5 million tons of wheat, causing a slight decrease in wheat prices. Prices have fallen by 5 to 7 rupees per kilogram.