To ensure food security and curb unscrupulous practices, the Government of India has implemented stringent measures to regulate wheat stocks. The Removal of Licensing Requirements, Stock Limits, and Movement Restrictions on Specified Foodstuffs (Amendment) Order, 2023, issued on June 12, 2023, is set to be in effect until March 31, 2024, across all States and Union Territories.
In an ongoing effort to control wheat prices, the Central Government has revised the Wheat Stock Limit for the following entities:
|
Entities |
Existing Wheat Stock Limit |
Revised Wheat Stock Limit |
|
Traders/Wholesalers |
2000 MT |
1000 MT |
|
Retailers |
10 MT for each Retail outlet |
5 MT for each Retail outlet |
|
Big Chain Retailers |
10 MT for each outlet and 2000 MT at all their depot |
5 MT for each outlet and 1000 MT at all their depot |
|
Processors |
75% of annual installed capacity or quantity equivalent to monthly installed capacity multiplied by remaining months of 2023-24, whichever is less |
70% of monthly installed capacity multiplied by remaining months of 2023-24. |
Under these regulations, traders, wholesalers, retailers, big chain retailers, and processors must adhere to specified stock limits. Entities involved in wheat stocking are required to register on the dedicated wheat stock limit portal (https://evegoils.nic.in/wsp/login) and update their stock positions every Friday. Failure to register or violations of stock limits may result in punitive action under Section 6 & 7 of the Essential Commodities Act, 1955.
Entities holding stocks beyond the prescribed limit must bring them within the specified limits within 30 days of the notification. Central and State Government officials will closely monitor enforcement to prevent artificial scarcity of wheat in the country.
To further bolster wheat availability, the Government has implemented the Open Market Sale Scheme (Domestic) [OMSS(D)]. The Food Corporation of India (FCI) has allocated 101.5 LMT of wheat at a subsidized price of Rs. 2150/quintal for calibrated release into the domestic open market through weekly e-auctions. An additional 25 LMT may be offloaded under OMSS during Jan-Mar 2024, depending on demand. To date, 44.65 LMT has been offloaded through weekly e-auctions, enhancing wheat availability at affordable prices nationwide.
In a strategic move to increase supplies in the open market, the weekly quantity offered through e-auctions by FCI has been increased from 3 LMT to 4 LMT with immediate effect, further boosting wheat availability. FCI is also collaborating with Central Co-operative organizations such as NAFED, NCCF, and Kendriya Bhandar to process wheat into atta and sell it under the 'Bharat Atta' brand at an affordable price of Rs. 27.50/kg.
Targeted sales are being undertaken in areas where prices are higher, with the quantity supplied for 'Bharat Atta' increased from 2.5 LMT to 4 LMT until the end of January 2024. Allocations to these organizations are regularly reviewed to ensure ample availability.
