Government Revises Wheat Stock Limits to Safeguard Food Security and Curb Speculation

The Indian government has enforced stock limits on the amount of wheat that can be stored in different sectors to prevent speculative activities and hoarding. The decision, encapsulated in the Removal of Licensing Requirements, Stock Limits, and Movement Restrictions on Specified Foodstuffs (Amendment) Order, 2023, issued on 12 June 2023, will remain effective until 31st March 2024, encompassing all States and Union Territories.

Revised Stock Limits

To stabilize wheat prices, the Central Government has revised stock limits for different entities:

Mandatory Registration and Monitoring

All wheat stocking entities are mandated to register on the wheat stock limit portal (https://evegoils.nic.in/wsp/login) and update their stock position weekly. Failure to comply with registration or exceeding stock limits will attract punitive measures under Sections 6 & 7 of the Essential Commodities Act, 1955. Authorities at both Central and State levels will closely monitor adherence to these limits to prevent artificial scarcity.

Open Market Sale Scheme

To augment wheat availability and ensure affordability, the Government has initiated the Open Market Sale Scheme (Domestic) [OMSS(D)]. Under this scheme, 101.5 LMT of wheat is allocated at a subsidized price of Rs. 2150/quintal through weekly e-auctions by the FCI. An additional 25 LMT may be offloaded during Jan-Mar 2024 based on demand. Notably, 80.04 LMT has already been offloaded, bolstering wheat availability at reasonable prices nationwide.

Furthermore, the FCI is supplying wheat to Central Co-operative organizations such as NAFED, NCCF, and Kendriya Bhandar for processing into atta, sold under the 'Bharat Atta' brand at Rs. 27.50/kg. Targeted sales are conducted in areas with higher prices to ensure equitable access. A total of 7.5 LMT of wheat has been earmarked for conversion into atta under the 'Bharat Atta' brand.