Export Ban On Wheat To Continue Until Domestic Supplies Ease, Says FCI Chief

The Centre had banned wheat exports in May last year to control the price in the domsetic market. India's wheat production fell to 107.74 million tonnes in the 2021-22 crop year.

On January 25, the Centre announced sale of 30 lakh tonnes of wheat in the open market from its buffer stock to check rise in prices of wheat and wheat flour (atta).

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Food Corporation of India chief Ashok K Meena on Tuesday said the wheat export ban would continue as long as the government does not feel comfortable with domestic supplies, reported PTI. The remark comes a day after FCI stopped wheat sale at discounted rates via e-auction to bulk consumers, institutions and state governments. 

Wheat production will not be affected due to recent rains, Meena said, adding that he was confident of achieving the output target. "Wheat procurement has started across the country, and 10,727 tonnes procured in Madhya Pradesh so far," PTI quoted the FCI chief as saying.

On January 25, the Centre announced sale of 30 lakh tonnes of wheat in the open market from its buffer stock to check rise in prices of wheat and wheat flour (atta). Till March 15, the FCI has sold 33 lakh tonnes of wheat through e-auction, out of which, buyers have lifted 31 lakh tonnes of the grain so far. 

Centre had banned wheat exports in May last year to control price in the domsetic market. The decision was taken due to unprecedented heat drying out crops and leading to reduced output, raising concerns about local supplies. The government later put restrictions on the exports of rice and sugar due to similar concerns.

India's wheat production fell to 107.74 million tonnes in the 2021-22 crop year (July-June) from 109.59 million tonnes in the previous year due to heat waves in a few growing states, the news agency had reported earlier. This year, it fell sharply to 19 million tonnes from around 43 million tonnes last year.

In the current crop year, however, wheat production is estimated to rise to 112.18 million tonnes on higher acreage and better yield, the report added. But the rise in temperature in March in key producing states has again become a concern for policy makers.

On Tueaday, the government also said it was too early to predict any damage to the wheat crop due to heat stress in February.

In a written reply to Lok Sabha, Union Agriculture Minister Narendra Singh Tomar said, "In the month of February 2023, though the maximum temperature was hovering around 32-33°C in most of the northern plains, it did not impact the wheat grain growth since the crop canopy temperature can be easily modulated by 2-3°C less than the air temperature by irrigation."

During the March 16-22 period, he said scattered to fairly widespread light/moderate rainfall was received over Punjab, Haryana, Delhi, Uttar Pradesh and Rajasthan due to which the maximum temperatures were near normal or below normal over these parts.

"In the current scenario, it is too early to predict any damage to the wheat crop due to heat stress," Tomar said.