India to not allow wheat export even if govt procurement exceeds target
The target is to buy 31.27 mt of wheat this year as the agriculture ministry estimates wheat production at record 115.43 mt during 2024-25 crop year (July-June)
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SRINATH M
India will not allow wheat export even if the government procurement exceeds the target of 31.3 million tonnes (mt) as the priority is to bolster stocks and restore normal allocation through ration shops, said a top official.
The Centre had banned wheat exports in May 2022 to control prices, after a slight fall in the domestic production and a sharp decline in the official procurement for the central pool. But it continued exporting on humanitarian ground and for diplomatic reasons to friendly countries on government-to-government requests, though in limited quantities.
“We know the wheat production is better this year as is procurement. But, our first priority still is to replenish buffer stocks to a comfortable level so that we are able to sell at least 6-7 million tonnes , if required, in open market,” said a top government official.
Besides, there is also a need to re-adjust the wheat-rice allocation under the National Food Security law as some beneficiaries were offered rice in place of wheat due to lower-than-expected procurement of wheat in the last few years. If the government completely restores the entitlement as it was in 2022 before changes were made, additional 3.5-4 mt of wheat per year will be required, officials said.
The government had sold about 3 mt of wheat in open market through auction and by releasing to cooperatives in 2024-25 whereas the sales were nearly 10 mt in 2023-24.
After 2021-22 when the Centre procured record 43.34 mt of wheat, procurement has been continuously missing the target in the last three years as the government could buy 18.79 mt in 2022-23 (target 44.4 mt), 26.2 mt in 2023-24 (target 34.15 mt) and 26.61 mt in 2024-25 (target 37.3 mt).
But in the current season, the government has already purchased 19.86 mt until April 24 as against 13.58 mt in the year-ago period, up by 46 per cent. The target is to buy 31.27 mt of wheat this year as the agriculture ministry estimates wheat production at record 115.43 mt during 2024-25 crop year (July-June), up from 113.29 mt in 2023-24.
India had exported 4.7 mt of wheat worth $1.52 billion in 2022-23 as it allowed the quantity which were contracted before the ban was announced. However, the shipments dropped to 0.19 mt in 2023-24 and further to only 2,749 tonnes during April-February, 2024-25.
The ban was announced when the country was preparing to position itself as a major credible global supplier after there was record 7.23 mt export of wheat worth $ 2.12 billion in 2021-22.
According to Ministry of Consumer Affairs data, there was 2.5 per cent jump in wheat retail prices and 3.6 per cent surge in atta rates during April 2025 from year-ago period. The all India average retail price of wheat was ₹34.34/kg and atta was ₹40.17/kg during April 1-27, official data show.
The stock held by the Food Corporation of India (FCI) was 11.79 mt as on April 1 as against 7.5 mt year-ago and the buffer norm of 7.46 mt.
Published on April 27, 2025
