The Government of India is taking proactive measures in monitoring wheat prices and ensuring stability for consumers across the country. Despite a healthy domestic wheat production of 1129 Lakh Metric Tonnes (LMT) during the Rabi season of 2024, the government aims to prevent hoarding and price manipulation.
Continuous Efforts to Maintain Food Security
To ensure overall food security and curb unscrupulous speculation, the government previously imposed stock limits on wheat for various entities in all states and union territories. The “Removal of Licensing Requirements, Stock Limits and Movement Restrictions on Specified Foodstuffs (Amendment) Order, 2024” was issued in June 2024 and remains valid until March 31, 2025.
Revised Stock Limits for Wheat
As part of its ongoing efforts to moderate wheat prices, the central government has announced revisions to the existing stock limits for various entities:
| Entity | Existing Wheat Stock Limit | Revised Wheat Stock Limit |
|---|---|---|
| Traders/Wholesalers | 3000 MT | 2000 MT |
| Retailers | 10 MT per outlet | 10 MT per outlet |
| Big Chain Retailers | 10 MT per outlet + 3000 MT at all depots | 10 MT per outlet + (10 x total number of outlets) MT at all depots |
| Processors | 70% of Monthly Installed Capacity (MIC) x remaining months of FY 2024-25 | 60% of Monthly Installed Capacity (MIC) x remaining months of FY 2024-25 |
Enforcement and Compliance
All entities storing wheat are mandated to register on the dedicated wheat stock limit portal and update their stock positions every Friday. Failure to register or exceeding the prescribed stock limits will result in punitive action under the Essential Commodities Act, 1955. Entities exceeding the new limits have 15 days to comply.
Central and state government officials will closely monitor the enforcement of these revised stock limits to prevent artificial scarcity and maintain price stability for consumers.
