India may not import wheat during the crop year 2008-09 as favourable weather conditions will result in good crop output, says Akilesh Prasad Singh, minister of state for consumer affairs and public distribution.
Talking to reporters on the sidelines of International seminar on wheat and wheat products in Bangalore, Singh said, “Weather-wise it’s good and we expect good yield this year.”
By April next, he said the government would have a carryover stock of 5.3 million tonne of wheat while it planned to procure 15 million tonne for public distribution and other welfare schemes during the crop year 2008-09.
He said, “At the moment, I can say that there won’t be any need of import next year.” Earlier, addressing the seminar, he said wheat consumption in India was expected to increase to 75.35 MT in 2011-12 from 71.32 MT in 2007-08.
The demand-supply imbalance is on account of host of factors ranging from increasing demand of wheat for feed uses, population growth, shifting dietary habits and a simultaneous slowing down of the rate of growth of wheat production. In fact, he said the government has increased the minimum support price (MSP) by more than 50% during the past four years to encourage farmers to grow more wheat and also to procure more wheat for the Central pool. The MSP for wheat was increased to Rs 1,000 per quintal from Rs 640 in 2004-05.
Government’s annual requirement of wheat for its public distribution system and welfare schemes is approximately 15 MT.
But the last two years have seen a reduced procurement by government agencies despite announcing substantial increase in procurement prices, he added.
He said the government has announced various steps to ensure that wheat production is given a boost apart from ensuring an increased procurement in the coming years. Steps include a greater reach of procurement agencies in the remotest part of the country.