Wheat Situation in India
20-Mar-2025 12:07 PM
Wheat Situation in India
- Over the past few years, there has been a 5-8 million tonne (MT) gap between the government and processing industry's wheat production estimates.
- In 2021-22, due to heatwaves before harvest, the government estimated wheat production at 107.7 MT, while the industry's estimate was significantly lower.
- This year, the government projects 115.4 MT, while millers estimate 110 MT.
- In 2022, the Indian government imposed a wheat export ban to ensure sufficient domestic supply.
- The export restrictions have led to higher domestic stock, helping stabilize prices.
- Wheat harvesting has already begun in Gujarat, Madhya Pradesh, and Rajasthan.
- In the next few weeks, harvesting will start in Uttar Pradesh, Punjab, and Haryana.
- The government anticipates a strong harvest this year, which will strengthen buffer stocks and keep the market stable.
- The Food Corporation of India (FCI) has auctioned 3 MT of wheat in the current fiscal year.
- For the 2025-26 rabi marketing season (April-June), the government aims to procure 31 MT of wheat.
- As of March 15, the central pool stock stood at 12.42 MT, significantly higher than the April buffer norm of 7.46 MT.
★ Overall, despite the production estimate gap, ample stock and strong procurement plans are expected to keep wheat prices stable this year.
