Has the Centre's Wheat Procurement Reached a Three-Year High?
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Synopsis
The Indian government's wheat procurement has surged to a remarkable 29.92 million tonnes, showcasing a 13% increase from last year. This achievement marks the highest procurement in three years, reflecting strong agricultural performance amidst ongoing price monitoring efforts.
Key Takeaways
- 29.92 million tonnes of wheat procured in 2025-26.
- 13% increase from last year's figures.
- Wheat stock held by FCI exceeds the buffer requirement.
- Top states in procurement include Punjab, Madhya Pradesh, Haryana, and Rajasthan.
- Government monitoring food prices and imposing stock limits.
New Delhi, June 6 (NationPress) The government has successfully procured 29.92 million tonnes (MT) of wheat during the 2025–26 Rabi marketing season (April–June), marking a 13 percent increase compared to the same timeframe last year, and achieving the highest procurement level in the last three years, as stated by a senior official.
This procurement was sourced from a total of 40.42 MT that arrived in the markets of major wheat-producing states across the country. The remainder has been acquired by millers and traders at prices not lower than the Minimum Support Price (MSP) set by the government.
A small amount of wheat continues to enter the mandis in Uttar Pradesh and Rajasthan. The current procurement is deemed adequate for distribution via the Public Distribution System and market intervention schemes, aimed at maintaining price stability.
As of now, the Food Corporation of India (FCI) holds a wheat stock of 36.65 MT, exceeding the buffer requirement of 27.58 MT for July 1, according to the official.
The leading four states contributing to wheat procurement are Punjab (11.93 MT), Madhya Pradesh (7.77 MT), Haryana (7.14 MT), and Rajasthan (2.02 MT).
The agriculture ministry has projected wheat production to reach a record 117.5 MT during the 2024-25 crop year (July-June), reflecting a 3.7 percent increase from the previous year.
On Thursday, the average mandi prices across key wheat-producing states were: Punjab (Rs 2,475/quintal), Madhya Pradesh (Rs 2,521/quintal), Rajasthan (Rs 2,465/quintal), and Haryana (Rs 2,425/quintal). The modal retail price for wheat stood at Rs 28/kg.
The Government of India is closely monitoring food prices and has established stock limits on wheat for wholesale traders and retailers nationwide to curb hoarding and speculation that can elevate inflation.
The order issued in the last week of May restricts wholesale traders to a maximum stock of 3,000 metric tonnes of wheat. Retail traders are permitted to hold up to 10 metric tonnes.
For large chain retailers, the stock limit is set to 10 metric tonnes for each retail outlet, with a maximum cumulative limit of 10 multiplied by the total number of outlets metric tonnes. This is the total stock allowable across all their retail locations and depots combined.
Point of View
This increase in wheat procurement reflects the government's effective strategies in agricultural management and food security. With a focus on maintaining price stability and ensuring sufficient stock for distribution, this development underlines the importance of the agricultural sector in India's economy.
NationPress
07/06/2025
Frequently Asked Questions
What is the total wheat procurement for the 2025-26 season?
The total wheat procurement for the 2025-26 Rabi marketing season is 29.92 million tonnes.
How does this year's procurement compare to last year?
This year's procurement represents a 13% increase over the same period last year.
What is the current wheat stock held by the FCI?
The Food Corporation of India currently holds a wheat stock of 36.65 million tonnes.
What are the stock limits imposed on wheat traders?
Wholesale traders are limited to holding 3,000 metric tonnes, while retail traders can keep 10 metric tonnes.
Which states are the top contributors to wheat procurement?
The top contributors to wheat procurement are Punjab, Madhya Pradesh, Haryana, and Rajasthan.
