Government Sells 1.66 LMT Wheat and 0.17 LMT Rice in Recent E-Auction
New Delhi, September 7, 2023 – The central government has successfully sold 1.66 lakh metric tonnes (LMT) of wheat and 0.17 LMT of rice through the Open Market Sale Scheme (D) in a recent electronic auction.
The primary objective of these e-auctions is to reduce retail prices and encourage the participation of small and marginal consumers. As part of the Government of India’s market intervention initiative to control rice, wheat, and atta prices, weekly e-auctions for both wheat and rice are conducted. The 11th e-auction for the fiscal year 2023-24 took place on September 6, 2023. A total of 2.0 LMT of wheat from 500 depots and 4.89 LMT of rice from 337 depots were offered from various regions of the country.
During the e-auction, 1.66 LMT of wheat and 0.17 LMT of rice were successfully sold. The weighted average selling price for FAQ wheat was Rs. 2169.65 per quintal, surpassing the reserve price of Rs. 2150 per quintal pan-India. The weighted average selling price for URS wheat was Rs. 2150.86 per quintal, exceeding the reserve price of Rs. 2125 per quintal.
For rice, the weighted average selling price reached Rs. 2956.19 per quintal, surpassing the pan-India reserve price of Rs. 2952.27 per quintal.
In this current phase of e-auctions, a maximum of 100 tons is being offered to individual buyers for wheat, and 1000 tons for rice. This decision aims to facilitate the participation of small and marginal consumers and attract more bidders from their preferred depots.
To prevent hoarding of stocks, traders were excluded from participating in wheat sales under OMSS (D), and regular checks and inspections are conducted at flour mills owned by processors who have purchased wheat under OMSS (D). As of September 5, 2023, a total of 898 inspections have been carried out across the country to ensure compliance.
