Centre sells 1.66 LMT wheat and 0.17 LMT rice through Open Market Sale Scheme (D) in e-auction held recently.

Reduction in retail price is targeted in the e-auctions to encourage small and marginal end users along with their maximum participation.

Delhi: As part of the Indian government’s efforts to regulate the retail prices of rice, wheat, and atta, they conduct weekly electronic auctions. The 11th auction for the fiscal year 2023-24 took place on September 6, 2023. During this auction, a total of 2.0 Lakh Metric Tonnes (LMT) of wheat from 500 storage locations and 4.89 LMT of rice from 337 storage locations were offered from various parts of the country.

In this electronic auction, 1.66 LMT of wheat and 0.17 LMT of rice were successfully sold. The average selling price for FAQ wheat was Rs. 2169.65 per quintal, surpassing the Pan India reserve price of Rs. 2150 per quintal. Additionally, 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 was Rs. 2956.19 per quintal, slightly higher than the Pan India reserve price of Rs. 2952.27 per quintal.

In the current series of e-auctions, the government is limiting each buyer to a maximum purchase of 100 tons for wheat and 1000 tons for rice. This decision aims to encourage small and marginal consumers to participate and choose their preferred storage location when bidding. To prevent stock hoarding, traders were excluded from purchasing wheat under OMSS (D), and thorough inspections are being conducted at the flour mills of processors who have acquired wheat through OMSS (D). As of September 5, 2023, a total of 898 inspections have been carried out nationwide.