Wheat prices surge amid supply shortages
The government was supposed to release a wheat tender from August 1, but the sale of wheat has since been canceled. As a result, wheat prices increased by ₹45 to ₹50 last week, reaching ₹3070 to ₹3080 per quintal for mill-quality wheat. Consumers are now facing higher prices for flour, maida, and semolina. Meanwhile, roller flour mills are struggling to find affordable wheat, and given these circumstances, the inflation in wheat prices will only stabilize once sufficient quantities are sold at lower rates through tenders. Officials from the Delhi Flour Mills Association believe that if the supply of wheat does not increase in the market, prices could surpass ₹3200 to ₹3250 per quintal by Diwali. With the sowing of wheat expected to begin soon, it will take about five to six months for the new crop to arrive, which means that prices may continue to rise, especially towards the end of this year. Due to a shortage of both low and mill-quality wheat in the market, there has been a significant surge in prices at the mandis. With festivals approaching, flour manufacturers are struggling to secure wheat even at these high prices. In the mandis, high-quality Lokwan wheat is being auctioned at prices as high as ₹3400 per quintal. Additionally, as the seed trading season begins, many large traders are focusing on the seed business.