Signs of Improvement in Commercial Wheat Procurement

25-Apr-2025 08:58 PM

New Delhi, April 2025 – Wheat procurement is witnessing a positive trend this year, with both government agencies and private players actively purchasing the grain. Unlike last year, when high prices and limited stock hampered supply, this year’s increased arrivals during March-April have put downward pressure on prices.

The Union Agriculture Ministry has projected wheat production to hit a record high of 1154.70 lakh tonnes, though trade sources estimate it closer to 1100 lakh tonnes—still a robust figure.

This suggests that domestic wheat supply will remain stable in the months ahead, keeping off-season price hikes in check.

Government procurement has already crossed 184 lakh tonnes, significantly higher than last year. While farmers in Madhya Pradesh and Rajasthan are receiving additional bonuses, those in other states are selling at the Minimum Support Price (MSP) of ₹2,425 per quintal.

In states like Punjab, Haryana, Madhya Pradesh, Uttar Pradesh, and Rajasthan, millers and traders are actively purchasing at prices slightly above MSP. However, in Bihar, where wheat prices remain higher, government procurement is expected to stay low.

With strong participation from both the public and private sectors, the wheat market shows signs of healthy supply and controlled pricing going forward.