The Government of India has decided to increase the maximum quantity of wheat that a bidder can purchase under the Open Market Sale Scheme (Domestic) [OMSS (D)]. A press release to this effect was issued on 27th October, 2023.
Effective from November 1, 2023, the maximum quantity of wheat that a bidder can acquire under OMSS (D) has been doubled from 100 Metric Tonnes (MT) to 200 MT.
Additionally, the total quantity offered per e-auction across India has been increased from 2 Lakh Metric Tonnes (LMT) to 3 LMT. This expansion in the quantity on offer is part of the government’s market intervention strategy to regulate the retail prices of essential commodities like rice, wheat, and atta.
As part of this initiative, the government conducts weekly e-auctions for both wheat and rice. In the latest round, the 18th e-auction of the 2023-24 fiscal year took place on October 26, 2023. A significant quantity of 2.01 LMT of wheat sourced from 444 depots was made available for bidding across the country.
During this e-auction, a robust participation of 2763 empaneled buyers was observed for wheat. A total of 1.92 LMT of wheat was successfully sold to 2318 bidders.
The weighted average selling price for Fair Average Quality (FAQ) wheat stood at Rs. 2251.57 per quintal, exceeding the reserve price of Rs. 2150 per quintal pan India. Similarly, the weighted average selling price for Under Rice Specification (URS) wheat was recorded at Rs. 2317.85 per quintal, surpassing the reserve price of Rs. 2125 per quintal.
In a measure to prevent stockpiling and hoarding, traders are excluded from participating in wheat sales under OMSS (D). Furthermore, regular checks and inspections are being carried out at the flour mills of processors who have purchased wheat under OMSS (D). As of October 26, 2023, a total of 1627 inspections have been conducted across the country to ensure compliance with these regulations.
