Flour is the raw material of products like bread, biscuit, shortbread.
Wheat Price in India: There has been a record increase in the price of flour across the country. This year, the price of flour has increased due to the possibility of less production of wheat. As of May 1, the stock of wheat in government godowns is at a 5-year low of 310 lakh tonnes.
If the prices of bread, biscuits and snacks increase in the coming days, then do not be alarmed because its land has been prepared. Neighboring confectioners have also started doing math multiplication to increase or decrease the size of kachoris, samosas, bhatures. reason price of flour ,Wheat Price) in record fast. On Monday, the price of one kg of flour reached Rs 49 in Mumbai. Prices are also increasing in other markets of the country. Flour is the raw material of products like bread, biscuits, shortbread and the possibility of it being expensive for a long time is also deep.
Earlier, whenever the price of wheat or its flour used to increase, the government used to increase the supply of wheat in the open market from its stock. During the last few years, the yield of wheat was good and the supply was also sufficient, due to which the government did not need much to increase the supply in the open market. But during 2018-19, the government had to release about 82 lakh tonnes of wheat kept in stock.
Wheat stocks at 5-year low
The question is that this time also the price of wheat and flour has increased rapidly. So will the government release wheat from its stock in the market? Only then will this be possible. When the godowns of the government will be full of wheat. What are the conditions of wheat yield and government procurement this year. Looking at them, it does not seem that the government’s godowns will be able to be filled with wheat as much as last years. The government has reduced the wheat yield estimate from 111.3 million tonnes to 105 million tonnes and if the old stock and this year’s purchases are taken together, the wheat stock in government godowns till May 1 is at a 5-year low of 310 lakh tonnes. Has been recorded.
The wheat stock lying in the central pool is used for the supply of government schemes like Food Security Mission and Pradhan Mantri Garib Kalyan Yojana. Apart from this, wheat also goes from here in the supply of ration for the armed forces. Strategic and operational stock which has to be kept in wheat godowns separately. After all these requirements are met, the government will not be left with much wheat to release in the open market.
In view of last year’s record wheat export of 78 lakh tonnes, the government has set a target of exporting more than 100 lakh tonnes of wheat this year. If so much wheat went into export. So the supply shortage in the domestic market may increase, which can further set the prices of flour, bread and biscuits on fire. And in case of more exports, the stock in the godowns with the government will also be less. Which can be supplied in the open market if needed.
The overall point is that the market equations are becoming such that in the coming days your plate of food will be more expensive.