FCI sold 2.84 lakh tonnes of wheat at an average price of ₹ 2,234/quintal in the last e-auction

The government sold 2.84 lakh tonnes (lt) of wheat through the Food Corporation of India (FCI) through electronic auction on November 15 through the open market sale system, which is about 95 percent of the total 3 lt. sales to processors. After increasing the amount offered for  auction, the government managed to reduce the amount of wheat sold. Compared to the e-auction base price of ₹ 2,127/quintal, the  weighted average selling price was ₹ 2,234, lower than last week’s ₹ 2,252, sources said. The government has announced an increase in wheat MSP for the upcoming rabi marketing season (April-March) from ₹2,275 per quintal to ₹2,125 per quintal, leading to a slight increase in retail prices. According to the official, however, the government managed to stop the price increase by announcing that  wheat will be charged more. Based on Wednesday’s results, prices fell to levels seen a month ago. At the  October 26 auction, the average  selling price of wheat rose to ₹ 2,311 per quintal from ₹ 2,260 the previous week, prompting the government to announce price containment measures. The government has decided that the sale of wheat under the Open Market Sale System (OMSS) will continue until March 31, 2024, and then 101.5 liters will be unloaded to keep  prices under control, the Food Ministry said. in October.  

 Karnataka is an exception 

 According to trade sources, the average selling price in the northern states was at par with the national average despite the removal of the 1.3-litre, while the average selling price in the south was around ₹ 2,204, except for Karnataka where prices were higher. compared to other neighboring countries.  In Karnataka, 24 of the 74  processors who won bids offered to buy wheat at a price of at least ₹ 2,400/quintal, with the highest price being ₹ 2,575. West Bengal saw the highest sale price of FCI wheat at ₹ 2,485, Rajasthan at ₹ 2,355 and Punjab at ₹ 2,450. On the other hand, the highest bid in Tamil Nadu was ₹ 2,135, trade sources said.   The government took several measures to control wheat prices. While traders were kept out of the auction by allowing only refiners to participate, last week  the ceiling per bidder was raised to 200 tonnes from 100 tonnes in each round to ensure better availability.

Leave a Reply

Your email address will not be published. Required fields are marked *