Government Unveils Wheat Sale to Tame Inflation in Food Economy

The government has announced the sale of 25 lakh tonnes of FCI wheat under the Open Market Sale Scheme to bulk domestic consumers. This move aims to control inflation in the food sector. Wheat will be sold through e-auctions until March 2025, with reserve prices set for different grades.

In a strategic move to mitigate the burdens of inflation within the food sector, the government has announced the sale of 25 lakh tonnes of wheat from the Food Corporation of India's (FCI) reserves. This sale is part of the Open Market Sale Scheme (OMSS) and aims to regulate supply and price stability.

According to the Food Ministry's statement, the wheat will be available to bulk domestic consumers, such as flour mills and wheat product manufacturers, with the sales occurring through an e-auction process. The reserve price has been set at Rs 2,325 per quintal for fair and average quality grain and Rs 2,300 per quintal for grain under reduced specifications.

The sales are scheduled to continue until March 2025, although the government did not disclose the exact starting date for the auctions. Last year, FCI successfully sold over 10 lakh tonnes of wheat to bulk consumers under the same scheme, highlighting the initiative's potential effectiveness.

(With inputs from agencies.)