April 2, 2013

India faces delays in wheat supplies

An absence of wheat for procurement has occurred for the third consecutive year on April 1.

Rabi marketing season has officially started this week and government agencies began procuring wheat for buffer stocks.

Extended cold conditions in the north have resulted in delay of the crop's ripening. Harvest normally peaks during second and third week of April. However, this year, it could peak between the fourth week of April and first week of May.

In 2011, procurement operations were delayed by a week while last year, arrivals were delayed by three days. This time, arrivals are likely to be delayed by more than 10 days, as the crop is not fully matured yet.

Haryana is the second biggest contributor of wheat to buffer stocks in the central pool. Following hopes of a bumper production and concerns of inadequate storage capacity, Haryana has banned the import of wheat from neighbouring states. Commission agents have been directed not to purchase produce from the farmers in these areas.

Mahavir Singh, Director General-cum-Special Secretary of the Food and Supplies Department, said that a number of measures have been adopted to ensure smooth procurement and to create space for the new wheat stocks.

Officials have been directed to ensure adequate space for new stocks by placing old stocks elsewhere, he added. Farmers have been advised to bring their produce to the market after proper cleaning and drying. Moisture level should not be more-than 12% while foreign matter should not exceed 7%, said Singh.

Arrangements have been made to procure 87.30 lakh tonnes for the central pool during the coming season. A record 87.16 lakh tonnes was procured last season from Haryana.