Govt has wheat surplus thrice over
At the beginning of this month, the Food Corporation of India (FCI) and state government-owned agencies had wheat stocks of more than 34 million tonne, while the norm is to have maximum of 10 million tonnes.
This means if a chunk of the stocks is not liquidated into the private market or exported during next few months, the government could face an acute storage crunch when purchase operations begin from April 1.
“We need to create space for the new wheat crop during next three months,” a FCI official told FE.
As per the latest data, the government’s foodgrain stocks (consisting mostly of wheat and rice) at the start of the month is reported at more than 66 million tonne against the norms of only 25 million tonne. The rice stock is at present reported at 32.2 million tonne. The current food stocks are also at an alarming level as the FCI and other agencies have storage capacities to keep food grains to the tune of 61 million tonne. This includes 18 mt of cover and plinth capacity that can’t keep the grains intact for more than a few weeks.
Meanwhile, the Commission for Agricultural Costs and Prices (CACP) has suggested that the government should push for wheat exports of a record 10 million tonne
Be the first to comment.