''October is the time when fresh OMSS wheat releases are likely to ensure ample supplies and prevent price rise,'' the official said.

 

He said the food department would submit its proposal to restart wheat OMSS to the Cabinet for approval in the first week of September. ''By October, hopefully, it should start,'' the official said.

 

He said the price at which the government would sell wheat under the OMSS to states and bulk users would be decided in September after looking at supplies and wholesale prices.

 

In the last financial year, the government had allocated over four million tonnes wheat under the open market sale scheme, 2.07 million tonnes for sale to states and 2.08 million tonnes for direct sale to bulk users. The scheme, initially valid till March 31, has been extended till June-end for bulk users and till September-end for states that do not produce or procure wheat.

 

The government has been selling wheat under OMSS at a base price calculated after adding transportation cost from Ludhiana to state capitals to last season's minimum support price of INR1,080 (US$23.7) a quintal.