January 26, 2005

India can export 3 million tons wheat

With India's wheat production estimated to surpass last year's production by about one million tons, experts have made a strong pitch for exporting over two million tons of wheat during the current year.

According to India Agriculture Research Institute (IARI) director S Nagarajan, India can export three million tons of wheat worth 390 million dollars even after meeting domestic demand of 65 million tons and allocating for buffer stocks after the current rabi season.

He said India can capitalise on the demand for high grade wheat in the international market by exporting about three million tons of the commodity and earning US$390 million from it.

The Punjab State Co-operative Supply and Marketing Federation (MARKFED) Managing Director S S Channy said there is a ready demand of two million tons of wheat from flour mills in Pakistan. India's Ministry of External Affairs is currently considering wheat exports to India's neighbour.

"We feel cheated by the sudden changes in the export policies as we are not able to gear up to the situation," the President of All India Grain Exporters Association, D P Singh, said.

Singh wanted continuity in the decision for exports of food grains and demanded a long term policy in this regard.

He said there is scope for wheat exports this year although the government has decided not to permit exports from FCI stocks.