The government is set to begin a wheat sale under the Open Market Sale Scheme (OMSS) starting tomorrow, December 4, 2024. The Food Corporation of India (FCI) will conduct an e-auction to sell 100,000 tonnes of wheat. This auction will prioritize millers and processors with very low wheat stock.

Millers with higher stock levels, particularly those with more wheat than their monthly milling capacity, will not be eligible for participation.

The auction will also have fixed sale quantities for different states, and the minimum reserve price for government stock wheat remains unchanged at Rs 2325 per quintal for FAQ (Fair Average Quality) category and Rs 2300 per quintal for URS (Under-Relaxed Specifications) category, as set in July 2024.

A key rule has been implemented: a miller with a processing capacity of 2500 tonnes per month, who already has 2450 tonnes of wheat, can only bid for an additional 50 tonnes.

This sale is part of a larger effort to unload 25 lakh tonnes of wheat by March 31, 2025. The announcement of the sale has already led to a decrease in wholesale wheat prices, which stood at Rs 2949 per quintal as of December 1, 2024.