April 13, 2012

India's wheat purchases jump nearly two folds

In the 2012-13 marketing year starting this month, India's wheat procurement has jumped nearly two-fold to about 22 lakh tonnes so far compared with the year-ago period on the back of record production.

The wheat procurement stood at 11.72 lakh tonnes in the same period last season, according to data compiled by the Food Corporation of India (FCI), the nodal agency for the procurement and distribution of food grains.

Wheat production of India, the world's second largest producer, is estimated at record 88.31 million tonnes in the 2011-12 crop year (July-June). The government expects that figure could cross 90 million tonnes.

The bulk of the procurement was carried out in Madhya Pradesh where FCI has bought 19.38 lakh tonnes of wheat so far as against about 10 lakh tonnes in the year-ago period.

FCI and other state agencies have procured 1.68 lakh tonnes of wheat in Haryana this season so far. Punjab, known as food bowl of the country, is yet to see pick up in wheat purchase as FCI has been able to procure just 4,800 tonnes of the grain this season so far. In the same period last year, the purchase was low at 2,500 tonnes.

Among other states, Uttar Pradesh contributed 14,507 tonnes, while Gujarat 21,308 tonnes to the central pool.