The government may reduce the price of wheat auction under Open Market Sale Scheme (OMSS) to further bring down prices.
Wheat auction prices may be brought down from Rs 2,350 per 100 kilograms to below Rs 2,200 per 100 kilogramme, informed sources told.
The government has taken steps to bring down the prices of wheat in the market.
Thirty lakh million tonnes of wheat has been offered for sale from the first week of February under OMSS and first tenders were floated by the Regional Offices of Food Corporation of India (FCI) on January 25, 2023. The auction started in tranches by February 1.
Sources said that government may reduce the wheat price from Rs 2,350 to below Rs 2200 per 100 kg to ensure that the rising prices are controlled immediately.
FCI is auctioning wheat at the rate of Rs 2,350 per quintal plus freight charges. It is auctioning wheat under OMSS every Wednesday.
Sources said the weather for the wheat crop has been good and acreage under wheat sowing this season has increased. The outlook of wheat production is very good, they said, adding that this has made the government confident about reducing wheat auction prices which will give big relief to the households in the country.
Sources said the government may offload beyond 30 LMT wheat if required.
In order to address the rising price of wheat and atta in the country, the government last month decided that FCI will make available 30 LMT wheat in the market through various routes under the OMSS.
Last month, it was decided to offload 30 LMT wheat in the market through OMSS (D) scheme within a span of two months through multiple channels.
It was felt that this will have a wider reach as well as an immediate impact on the soaring wheat prices and bring relief to the common man.
FCI undertakes the movement of foodgrains throughout the country.