A recent statement released by the Centre states that the central pool of the Indian government contains enough food grain to cover the needs of the NFSA and its other welfare schemes as well as for an additional allocation of PMGKAY.
As of January 1, 2023, there will be about 159 LMT of wheat available, which is significantly more than the 138 LMT buffer norm need, while around 182 LMT of wheat is available in the central pool as of 12.12.2022, it added.
The statement further said that the Indian government is well aware of the current wheat price situation and continuously monitors it along with other commodities on a weekly basis, taking corrective action as needed. The Indian government has taken aggressive measures to prevent additional price increases, and export restrictions were put in place as of May 13 this year, it said.
Furthermore, the government noted in the statement that it is because there is enough wheat stock in the central pool to meet the needs of welfare schemes, the allocations under NFSA and PMGKAY have also been amended in favor of rice.
The MSP for the wheat harvest has been increased by the Indian government this year from Rs 15/qtl for RMS 2022–23 to Rs 2125/qtl. Due to the rise in MSP of Rs 110/qtl and generally favorable weather circumstances, it is anticipated that wheat output and procurement for the upcoming season will stay at average levels.
The procurement of wheat for the upcoming season will start in April 2023, and preliminary estimates indicate that the crop's seeding has increased somewhat from the previous year, it said.
Centre told that in order to meet the needs of all nationwide welfare schemes and to keep prices in check, the Government of India has made sure that there is an adequate supply of food grains in the central pool.
A sufficient amount of wheat will still be in the central pool to meet the needs of the nation until the arrival of the following wheat crop, despite the fact that procurement of wheat during the previous season was on the lower side due to less production along with farmers selling at prices higher than MSP in the open market as a result of geopolitical situation, it added.
