India wheat procurement tops 72% of 34.51 mt target

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Wheat purchases rose 41 percent to 24.66 million tons as of May 7 in the current buying period (April-June) compared to 17.53 million tons a year earlier, according to the latest official data. The purchase target is set at 34.15 metric tons for the current season.

Of the 28.7 mt target from three states – 13.2 mt in Punjab, 8 mt in MP and 7.5 mt in Haryana – nearly 85 per cent has been achieved, so far. The government has to ensure that shortfalls in other countries are covered, as only 7 percent of the 5.45 metric tons targeted was purchased there.

Rajasthan, which was a late starter, reported good progress in the last 10-12 days with purchases in the states reaching 2.32kt against the 0.5mt target. The Secretary of State held a meeting on April 24, when the purchase was only about 25,000 tons, with all stakeholders and directed all agencies to buy from those tenant farmers who had no proof of land lease as many were denied MSP since it is not documented.

The sources said that he asked FCI to increase the number of buy positions from 166 until April 23. The chief secretary asked the officials to buy from those farmers showing the land lease agreements made after the purchase started.

UP PURCHASES DOWN 22%

Punjab showed a 25.2 per cent increase in purchases at 11.73 million tons as of May 7 from last year’s level of 9.37 million tons. Haryana registered a jump of 51.4 percent at 6.16 metric tons from 4.07 metric tons a year earlier. In Madhya Pradesh, wheat purchases were up 64.4 percent at 6.38 metric tons from 3.88 metric tons.

Official data showed that purchases in Uttar Pradesh, the largest wheat producer, registered a 22.6 percent drop at 0.15 metric tons from 0.2 million tons. But Rajasthan has contributed 0.23 metric tons to Central Pool’s stock so far, compared to just 758 tons in the same period last year.

The country’s wheat purchases fell to a 15-year low of 18.79 metric tons in 2022-23, which prompted the government to ban exports last year and are still continuing.