Food Corporation of India Offers 2.2 mt tonnes of Wheat for Sale in Open Market

FCI offered 2.2 million tonnes of food grain from its 2.5 million tonnes central pool stock for sale under its open market sale scheme (OMSS) to increase domestic availability and keep wheat prices stable.

"Food Corporation of India offered 22.0 LMT out of 25 LMT Wheat stock earmarked for e auction wheat from the central pool stock to the market through various routes under the Open Market Sale Scheme (Domestic) in the first e auction on 1st February 2023," according to a statement from the Ministry of Consumer Affairs, Food & Public Distribution.

More than 1,100 bidders registered for the first e-auction, according to the ministry, which added that bidding would take place in Rajasthan on Thursday. E-auctions will be held every Wednesday until March 15th.

Last month, the Centre announced that it would offload 3.0 million tonnes of the essential commodity from its buffer stock under OMSS in order to contain the rise in wheat prices. The government allows FCI to sell foodgrains, particularly wheat and rice, at predetermined prices in the open market to bulk consumers and private traders under OMSS.

The government has also set aside 300,000 tonnes of wheat for cooperatives and federations such as Kendriya Bhandar, NCCF, and NAFED to sell at a concessional rate of 2,350 per 100 kg, with the atta price capped at 29.50 per kg.

Under the scheme, NCCF has been granted permission to transport 50,000 tonnes of wheat across seven states. According to the ministry, 100,000 tonne of wheat has been allocated to NAFED and Kendriya Bhandar, respectively, as part of the scheme to reduce atta prices across the country.