Open market sale scheme may start from July for wheat sale
29-May-2025 08:25 PM
New Delhi. With the aim of increasing the supply and availability of wheat in the domestic market and curbing the rise in prices, the Central Government may start the Open Market Sale Scheme (OMSS) from the end of June or beginning of July.
According to senior official sources, up to 60 lakh tonnes of wheat quota can be allocated for sale under this scheme during the current financial year. Which is twice the quota of the previous financial year.
The government has sufficient stock of wheat available and even if there is a need to increase the allocation for the Public Distribution System (PDS), the government will still be able to unload at least 60 lakh tonnes of wheat quota in OMSS.
Under the Open Market Sale Scheme, the government provides wheat from its stock to millers-processors through weekly e-auction. For this, a fixed base price of wheat is fixed.
Traders are not allowed to purchase this wheat. Critics say that the government undoubtedly wants to bring down the prices of wheat to a reasonable level, which are rising despite good arrivals in the markets.
The price of wheat has improved to Rs 2740 per quintal in Madhya Pradesh's benchmark Indore market. While in Delhi it has reached Rs 2770 per quintal.
The minimum support price (MSP) of wheat has been fixed at Rs 2425 per quintal this time. An additional bonus of Rs 175 per quintal was given in Madhya Pradesh and Rs 150 per quintal in Rajasthan.
Now it will be interesting to see whether there is any change in the minimum reserve price of wheat under OMSS or it is retained at last year's level.
According to official sources, during the current Rabi marketing season, the government is expected to purchase about 300 lakh tons of wheat, while there is also a pending stock of 110 lakh tons.
Despite the increase in allocation in PDS, the government may have surplus stock of 60 lakh tons of wheat to sell in OMSS. In the last financial year, 30 lakh tons of wheat was sold.