Storage limit imposed on wheat for the first time for the current Rabi marketing season

29-May-2025 12:52 PM

New Delhi. The Central Government, concerned about the rise in domestic wheat prices despite record production and procurement, has acted swiftly by reimposing a storage limit on this essential food grain.

While the stock quantity limit remains unchanged from last year, the time allowed to sell excess stock has been reduced by 15 days to ensure quicker market release.

According to official information, the storage limits are fixed at 3000 tonnes for traders and wholesalers, 10 tonnes for retailers, 10 tonnes per outlet for large retail chains, and 70% of milling capacity for processors.

These limits are the same as those set in 2024. However, unlike last year when 30 days were given to release surplus wheat, this year only 15 days are allowed.

Under the rules, the mentioned entities must not hold wheat stocks exceeding the specified limits at any time. If they do, the excess must be released into the market within 15 days.

The order has come into immediate effect and will remain valid until 31 March 2026, although the government retains the right to withdraw it earlier.

During the last imposition of the storage limit, the supply situation remained tight and prices were high. This year, however, conditions are different.

A substantial quantity of wheat has been bought by the private sector from farmers. Still, despite the ongoing arrival season, there are already signs of bullishness and firmness in the market.