Concerned over recent increase in wheat and atta prices, the Food Ministry on Friday announced an increase in the quantity offered for sales through weekly e-auction by 50 per cent to 3 lakh tonnes. It also allowed traders to buy double the quantity they are currently entitled to. The new changes will come into effect from November 1.
“To increase the availability of wheat in the open market and to further stabilise the prices of wheat, with effect from November 1, the maximum quantity a bidder can purchase under Open Market Sale Scheme (OMSS) has been increased to 200 tonnes from 100 tonnes and the total quantity offered per e-auction across India has been increased to 3 lakh tonnes (lt) from 2 lt,” the ministry said in a statement.
Traders have been kept out from the ambit of wheat sale under OMSS in order to avoid hoarding of stocks, the ministry said. Regular checks and inspections are also being made at flour mills of the processors who have been purchasing the wheat under OMSS, it added. So far, Food Corporation of India (FCI) has carried out 1,627 checks across the country.
96% wheat sold in latest auction
Meanwhile, in the last e-auction held on October 26, out of 2.01 lt wheat offered for sales from 444 depots, 1.92 lt (close to 96 per cent) was sold. Of the 2,763 empanelled buyers participated in the bid, 2,318 were successful in securing the quantity.
The weighted average selling price was ₹2,251.57/quintal for fair and average quality (FAQ) variety wheat against its reserve price of ₹2,150, whereas the average selling price of under relaxed specifications (URS) was ₹2,317.85 against reserve price of ₹2,125/quintal, the government said.
As a part of government initiative for market intervention to control the retail price of rice, wheat and atta, weekly e- auctions of both wheat and rice have been organised since June last week.