Wheat arrivals, procurement gather pace

In the first three weeks of the 2025-26 wheat procurement season (April-June), government agencies have accelerated purchases at Minimum Support Price (MSP), with arrivals in mandis gaining momentum. The procurement drive, led by the Food Corporation of India (FCI) and state agencies, is expected to peak within the next week.

So far, over 11.85 million tonnes (MT) of wheat have been procured, marking an 85% jump compared to the same period last year. Arrivals have crossed 17 MT across major states, with Madhya Pradesh leading at 4.71 MT, followed by Haryana (4.51 MT), Punjab (1.56 MT), Rajasthan (0.64 MT), and Uttar Pradesh (0.4 MT).

The government aims to procure 31 MT of wheat this season, largely from Punjab (12.4 MT), Haryana (7.5 MT), Madhya Pradesh (6 MT), Uttar Pradesh (3 MT), Rajasthan (2 MT), and Gujarat (0.1 MT). Officials are optimistic about meeting the target for the first time since the 2021-22 season, thanks to a healthy crop output across major producing regions.

With FCI supplying around 18.4 MT annually for welfare schemes, additional procurement will strengthen buffer stocks and support market intervention through open sales to stabilize prices. After a record 43.3 MT procurement in 2021-22, volumes had dipped to 18.8 MT in 2022-23 but have rebounded to over 26 MT in the past two years.