Food Corporation of India sells 18.09 LMT Wheat at competitive prices through e-auctions
In a bid to stabilize wheat and atta retail prices, the Food Corporation of India (FCI) has been actively participating in the Open Market Sale Scheme (Domestic) [OMSS(D)] initiated by the Government of India. The FCI has consistently offered 2.00 LMT wheat per week at a reserve price of Rs. 2125/- per qtl, aligning with the prevailing Minimum Support Price (MSP) for wheat.
These weekly auctions have been conducted nationwide, with more than 480 depots contributing to the effort. As of September 21, 2023, a total of 13 e-auctions have taken place, resulting in the sale of 18.09 LMT wheat under the scheme.
Notably, the weighted average selling price of wheat has seen a decline from Rs. 2254.71/qtl in August ’23 to Rs. 2163.47/qtl during the e-auction on September 20, 2023. This drop reflects a cooling trend in wheat market prices in the open market. Furthermore, the fact that the quantity sold in each weekly e-auction has not exceeded 90% of the offered quantity demonstrates that ample wheat stocks are available throughout the country.
The effective implementation of the OMSS(D) policy has played a crucial role in keeping wheat prices in check in the open market while ensuring an adequate supply of wheat in the central pool. This success paves the way for the continued execution of the OMSS(D) policy for the remainder of the fiscal year 2023-24.
