Food Corporation of India (FCI), a government company, has a responsibility to sell 2.5 million tonnes of wheat from its regulatory stock to consumers in bulk under the Open Market Selling Scheme (OMSS) to control rising prices. prices of wheat and its products. in the country. The first sale of wheat through electronic auction took place on February 1 and 2.
The next electronic auction for the sale of FCI wheat to bulk consumers such as flour mills under the open market sale will take place on February 15. The Ministry of Food gave this information in a statement on Saturday. Food Corporation of India (FCI), a government company, has a responsibility to sell 2.5 million tonnes of wheat from its regulatory stock to consumers in bulk under the Open Market Selling Scheme (OMSS) to control rising prices. prices of wheat and its products. in the country. The first sale of wheat through electronic auction took place on February 1 and 2.
About 9.2 lakh tons of wheat were sold from FCI warehouses in 23 states. There was a plan to hold weekly electronic auctions every Wednesday. “The second sale of wheat through electronic auction will take place throughout the country on Wednesday, February 15,” the Ministry of Food said in a statement, without giving information on the reasons.
Meanwhile, FCI has ordered all the winning bidders of the first electronic auction to reduce the cost and immediately withdraw the stock from the respective warehouses across the country and make it available in the respective markets for price control. He added: “After removing wheat sold in electronic auctions and making flour available on the market, prices are expected to drop further.”
Wheat is offered with a reserve price of Rs 2,350 per hundredweight plus shipping costs. Last month, the government had announced plans to sell three million tonnes of wheat from its regulatory reserve on the open market under OMSS to control wheat and wheat flour prices. Of these 30 lakh tons of wheat, FCI will sell 25 lakh tons of flour to bulk users like millers and 2 lakh tons to states and union territories through electronic auctions.
About three lakh tons of wheat will be delivered at a preferential rate of Rs 2350 per quintal to state PSUs, Kendriya Bhandar, NCCF and Nafed federations, cooperatives and federations without electronic auction to convert the wheat into flour and sell it at Rs 29.50 be available to the public at a maximum retail price (MRP) of Rs. Under the OMSS policy, the government allows FCI to sell food grains, especially wheat and rice, to bulk consumers and private traders at predetermined prices on the open market from time to time.
Their goal is to increase supply when demand is high and reduce normal open market prices. Wheat production in the country has declined to 106.84 million tons in crop year 2021-22 (July-June) from 109.59 million tons a year earlier. The shortfall in production was due to the sudden increase in heat and heat waves in some of the producing states. There has been a sharp decline in purchases this year to 19 million tons from around 43 million tons last year. The area sown to wheat is slightly higher in the current rabi (winter planting) season. The acquisition of new wheat crop will begin from March 15.
Disclaimer:Prabhasakshi has not edited this news. This news has been published from PTI-language feed.