The Food Corporation of India (FCI) has seen its wheat stock decrease below 100 lakh tonnes for the first time since 2018, currently standing at 97 lakh tonnes. This reduction is attributed to low procurement over the past two years and significant sales of wheat in the open market to moderate prices. Despite this drop, the wheat stock still exceeds the statutory buffer stock requirement for April, which is set at 74.6 lakh tonnes. FCI officials anticipate better procurement for the current year, estimating around 320 lakh tonnes, which would ensure a comfortable stock level.
Conversely, FCI's rice stock remains robust, holding more than four times the buffer norm at approximately 270 lakh tonnes, not including an additional nearly 30 lakh tonnes due from millers. The required buffer norm for rice as of April 1 is about 136 lakh tonnes. The government had previously sold over 90 lakh tonnes of wheat in the open market as a measure to increase availability and stabilize prices. This market intervention ceased with the commencement of the public procurement season.