The Aryavarth Express
Agency (New Delhi): In an effort to regulate wheat prices and maintain food security, the Government of India has revised the wheat stock limits for different business entities. This move, applicable in all States and Union Territories, aims to curb hoarding and speculative activities that could disrupt market stability. Initially set by the Removal of Licensing Requirements, Stock Limits and Movement Restrictions on Specified Foodstuffs (Amendment) Order, 2023, the stock limits were to last until 31st March 2024.
Under the revised regulations, the following changes have been made:
1. Traders and Wholesalers: The existing wheat stock limit of 1000 Metric Tonnes (MT) has been reduced to 500 MT.
2. Retailers: The limit remains unchanged at 5 MT for each retail outlet.
3. Big Chain Retailers: Previously allowed 5 MT per outlet and 1000 MT across all depots, the limit is now 5 MT per
outlet and 500 MT for all depots.
4. Processors: The stock limit has been altered from 70% to 60% of their monthly installed capacity, multiplied by the remaining months until April 2024.
These entities must register on the wheat stock limit portal and update their stock positions every Friday. Failure to comply with these regulations will result in punitive actions under the Essential Commodities Act, 1955. Entities exceeding these limits are required to adjust their stocks within 30 days of the notification’s issue.
Additionally, the Government has implemented measures under the Open Market Sale Scheme (Domestic) [OMSS(D)]. A total of 101.5 Lakh Metric Tonnes (LMT) of wheat has been allocated at a subsidized price of Rs. 2150/quintal for release into the domestic market through weekly e-auctions conducted by the Food Corporation of India (FCI). Depending on the need, an additional 25 LMT may be released between January and March 2024. To date, 80.04 LMT has been offloaded, enhancing wheat availability and benefiting consumers nationwide.
Furthermore, FCI is distributing wheat to cooperative organizations like NAFED, NCCF, and Kendriya Bhandar for processing into ‘Bharat Atta’ and selling it at Rs. 27.50/kg through various outlets. A total of 7.5 LMT of wheat has been allocated for this purpose, with sales targeted in areas with higher prices. The allocations are periodically reviewed to ensure sufficient availability.
The Department of Food and Public Distribution is vigilantly monitoring the wheat stock situation to ensure price control and easy accessibility across the country. This strategic approach aims to stabilize the market and prevent any artificial scarcity of wheat in India.