Wheat crisis in Punjab: Flour mills on 'brink of closure', wheat prices hit Rs 40 per kg
Wheat crisis in Punjab: Punjab is facing a severe wheat crisis as a shortage of the grain has led to the closure of most flour mills, as per reports. With the lack of wheat, production of flour has come to a standstill, causing the price of flour to soar to Rs 40 per kg. The Punjab Roller Flour Mills' Association has urged the Central Government to address the issue promptly.
Tender prices skyrocket to Rs 3,200 per quintal
Narinder Kumar Ghai, president of the Punjab Roller Flour Mills' Association, said the wheat shortage in Punjab occurred well before the grain arrived from other states. This had caused flour prices to break records. "The Food Corporation of India (FCI) usually supplies wheat to states, but this time, due to a lack of available tenders, the supply has been delayed," he said, adding "Stock levels at mills are running low, and most mills have halted operations. In fact, the affordable wheat supply from FCI has ceased altogether." Recent tenders have seen prices rise to Rs 3,200 per quintal, a stark contrast to the government-set price of Rs 2,325 per quintal.
45% of wheat procured from Punjab
In the previous season, the government procured approximately 262 lakh metric tonne of wheat from across the country, with 45% of it—around 123 lakh metric tonne —coming from Punjab. Flour mills in the state typically maintain a stock for only six months, and the stock is regularly updated on the portal. However, with stock expected to deplete within the next three months, the situation could worsen as wheat deliveries are not expected until April. Recently, the state received wheat from Haryana and Rajasthan, but stocks from these regions are now also depleted. If the Central Government does not act swiftly, flour prices are likely to rise significantly.
Flour and bread prices likely to increase
With the surge in flour prices, there is a potential for the prices of other food items to rise as well. In the retail market, the price of maida (refined wheat flour) could increase by up to Rs 10 per kg. Similarly, various bread brands in Punjab could also see a price hike. If the rise in flour prices is not controlled soon, other food prices may follow suit.
- PTC NEWS
