Indian Economy News

2,334 bidders buys 2.84 Lakh MT wheat and 5,830 MT rice during 21st e-auction under Open Market Sale Scheme (domestic)

The weekly online auctions of both wheat and rice are conducted as part of the Government of India's initiative to intervene in the market to regulate the retail price of rice, wheat, and atta. On November 15, 2023, the 21st e-auction took place. Under the Open Market Sale Scheme (Domestic), 3 Lakh MT of wheat and 1.79 Lakh MT of rice were offered, and 2,334 bidders purchased 2.84 Lakh MT of wheat and 5,830 MT of rice.

The weighted average selling price was Rs. 2246.86/quintal (US$ 27/quintal) for wheat against the reserve price of Rs. 2150/quintal (US$ 25.84/quintal) for PAN India, whereas the weighted average selling price of wheat was Rs. 2232.35/quintal (US$ 26.83/quintal) against the reserve price of Rs. 2125/quintal (US$ 25.54/quintal).

Furthermore, under the Open Market Sale Scheme (OMSS) Domestic, 2.5 Lakh MT of wheat have been assigned to semi-government and cooperative organisations such as Kendriya Bhandar, National Cooperative Consumers' Federation of India Limited (NCCF), and National Agricultural Cooperative Marketing Federation of India Limited (NAFED). Their task is to turn this wheat into atta and sell it to the public under the 'Bharat Atta' brand, with a maximum retail price of Rs. 27.50 per kilogramme (US$ 0.33/kg).  These three cooperative societies have lifted 15,337 MT of wheat as of November 14, 23 for eventual conversion into atta.

The traders are kept out from the ambit of wheat sale under OMSS (D) and till November 14, 2023, around 1917 random checks have been made across the country in order to avoid hoarding of stocks.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.