Millers-processors show tremendous interest in buying cheap government wheat

13-Dec-2024 11:24 AM

The recent wheat auction organized by the Food Corporation of India (FCI) under the Open Market Sale Scheme (OMSS) has revealed a strong demand from millers and processors.

In the second weekly e-auction held on December 11, 1480 participants purchased nearly the entire one lakh tonne of wheat offered.

This is consistent with the results of the first auction, where 100,000 tonnes of wheat were also fully bought. This indicates that millers-processors are eager to take advantage of government wheat being sold at affordable prices.

The auction was held across 23 states and union territories, with 100% of the wheat quota for 19 states purchased.

In three other states, 99% of the wheat was bought, while the Northeast region saw an 85% purchase rate—an improvement over the 60% rate in the previous auction.

Notably, over 70,000 tonnes of wheat was sold to the top 10 consuming states, including Uttar Pradesh, Punjab, Maharashtra, and Gujarat, with 1062 bidders buying all 70,500 tonnes.

Millers-processors seem to be capitalizing on the opportunity provided by the government’s sale of wheat at lower prices.