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Informist, Tuesday, Jun. 16, 2026

 

By Afra Abubacker

 

NEW DELHI –  With two weeks left for the government's wheat procurement operations to conclude, the Centre has exceeded its procurement target for the 2026-27 rabi marketing season, led by robust purchases in Madhya Pradesh and Haryana. As of Monday, Food Corp. of India and state agencies procured 35.7 million tonnes of wheat, up over 19% on year and higher than the revised target of 34.6 million tonnes, according to FCI data.

 

Wheat purchases may rise further as procurement continues in Rajasthan. Agencies in other major wheat-growing states have stopped procurement operations.

 

The government's wheat purchases rose sharply this year as traders and millers were reluctant to buy weather-damaged crop in several regions. Meanwhile, the government relaxed the quality norms to procure shrivelled and broken grains from farmers amid widespread crop damage across major producing states. Of the total wheat procured so far, nearly 68% or 24.2 million tonnes of wheat has been procured under relaxed quality specifications. 

 

Under the relaxed quality norms, farmers can sell wheat with up to 15% shrivelled and broken grains, compared with the earlier limit of 6%. The permissible limit for loss of lustre has also been relaxed up to 50%.

 

Punjab and Haryana had ended procurement in May at 12.1 million tonnes and 8.1 million tonnes, respectively. Haryana's entire procurement was carried out under the relaxed quality norms, reflecting widespread damage and weak market demand. Punjab, Uttar Pradesh, and Rajasthan also procured substantial quantities under relaxed quality norms following the crop damage.

 

In contrast, Madhya Pradesh bought 10.4 million tonnes, or the entire quantity of wheat procured under the fair-average quality norms. Purchases in the state were 34% higher on year amid higher cultivation and relatively limited weather-related crop damage. 

 

As of June-mid, Rajasthan has procured 2.6 million tonnes of wheat, up 27% on year. The state is set to complete procurement by the end of June. Uttar Pradesh stopped purchases on Monday after procuring a little over 2 million tonnes, up 110% on year, but missing the 2.5 million tonnes target. 

 

Farmers across the country brought about 42.75 million tonnes of wheat to markets as of Monday. Of this, government agencies bought over 83% or 35.7 million tonnes, indicating a strong government presence in the market.

 

With wheat procurement drawing to a close by Jun. 30 and foodgrain stocks swelling in the central pool, the government appears unlikely to delay the commencement of wheat sales under the open market scheme. Millers and traders are awaiting clarity on wheat allocation for the open market sales scheme to gauge market prices in the coming months.  

 

Last year, open market sales for wheat began in November but progressed unevenly, with temporary suspensions and irregular auction schedules. Although the government earmarked 3 million tonnes of wheat for open-market sales, it could sell only about 21% of it amid ample market supplies and weak demand. 

 

The government procures food grains to maintain buffer stocks, feed 800 million people through welfare programmes, and check the rise in retail prices through open market sales.

 

Following is the state-wise progressive wheat procurement as of Jun. 15 compared with the year-ago period and the percentage difference:

 

States	Target (in mln tn)	2026-27 (in tonnes)	2025-26 (in tonnes)	% chng
Punjab	12.2	12,163,233	11,923,689	2.01
Haryana	7.2	8,120,596	7,082,919	14.7
Madhya Pradesh	10	10,436,803	7,774,491	34.2
Rajasthan	2.35	2,647,142	2,093,135	26.5
Uttar Pradesh	2.5	2,156,420	1,027,321	110
Total*	34.59	35,691,517	29,936,003	19.2

 

* The total does not tally due to the omission of states with lower wheat procurement.  

 

End

 

 

Edited by Saji George Titus

 

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