Centre clears sale of 10 mn tonnes of wheat

The Centre on Thursday approved the sale of 10 million tonnes of wheat in the open market from Food Corporation of India (FCI) stocks to boost domestic supply, contain prices and ease pressure on storage.

A decision to this effect was taken at a meeting of the Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi.

The reserve price for the sale of old stocks of wheat has been fixed at Rs. 1,500 per quintal while for “premium” new variety it has been set at an additional cost of five per cent, sources told

The Hindu . The minimum support price of wheat is Rs. 1,400 per quintal.

This will be in addition to the freight cost, which will have to be borne by the bulk purchaser.

The grain would be sold through e-tendering process by the FCI. The purchaser can either buy from the source or can book at the origin point for delivery at a receiving point after bearing the cost of transportation either by rail or road, the sources said.

Last year, too, about 8.5 million tonnes of wheat was allocated for sale through the Open Market Sale Scheme. Of this, 6.7 million tonnes was sold.