Millers Show Weak Interest in OMSS Wheat

22-Jan-2026 01:23 PM

New Delhi. Millers and processors are showing little interest or activity in purchasing government wheat due to sufficient stocks available with the private sector and relatively stable market prices.

The Food Corporation of India (FCI) has resumed the auction sale of wheat under the Open Market Sale Scheme (OMSS), but the response has been lukewarm.

The Ministry of Food has allocated a quota of 30 lakh tonnes of wheat for sale under OMSS for the current financial year, of which only 3.50 lakh tonnes have been sold so far. The wheat auction process is expected to continue until March 31, 2026.

Notably, the Food Corporation started the OMSS quite late this year, commencing in November 2025.

Two weekly auctions were held in November for the sale of government wheat, but due to limited sales, they were later suspended. One auction was held in December, and it has now been resumed in January.

According to trade analysts, the weekly (or fortnightly) e-auction process for the sale of government wheat under OMSS is likely to continue until the second week of March 2026, but strong participation from flour millers and processors is not expected.

Wheat prices in the wholesale markets of major producing states remain relatively stable with limited fluctuations, and there are ample stocks available. Stock limits are in effect.

The minimum reserve price for government wheat has been fixed at Rs. 2550 per quintal, with freight charges applicable separately.

In this situation, only millers and processors from a limited number of states may show interest in purchasing the wheat.

Officials believe that the Food Corporation may be able to sell around 10-12 lakh tonnes of wheat out of the allocated stock of 30 lakh tonnes in the current financial year 2025-26.