India's Wheat Stocks Surge 57% To 3-Year High, Easing Supply Concerns

(MENAFN- KNN India) New Delhi, April 17 (KNN) Government wheat stockpiles in India have increased significantly, rising 57 percent to a three-year high at the beginning of the new crop year this month, according to official data.

This substantial increase has helped ease supply concerns that had previously driven domestic wheat prices to record levels earlier this year.

The latest figures reveal that wheat reserves in state granaries stood at 11.8 million metric tons as of April 1, considerably exceeding the government's target of 7.46 million tons.

Current wheat stocks are more than 4 million tons higher compared to the same period last year, providing a substantial buffer for the food security system.

For the 2025 procurement season, the Food Corporation of India (FCI) has set a target to purchase 31 million tons of wheat from farmers.

This follows last year's experience when the FCI targeted 30-32 million tons but secured only 26.6 million tons.

The procurement shortfalls, combined with disappointing harvests over the past three years, had previously contributed to elevated staple grain prices and speculation about potential wheat imports for the first time in seven years.

Despite these pressures, the government has maintained its stance against imports thus far. Early indicators for the current procurement season are positive, with FCI purchases tracking ahead of the same period in 2024, suggesting improved collection rates.

The data also highlights an exceptionally strong position in rice reserves. State reserves of rice, including unmilled paddy, reached a record 63.09 million tons as of April 1, far surpassing the government's target of 13.6 million tons.

This substantial surplus creates opportunities for increased export activity without compromising domestic supply requirements.

(KNN Bureau)

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