You are here: Home » Markets » Commodities » Other Commodities
Business Standard

Ministry lowers wheat output forecast marginally

Our Agriculture Editor  |  New Delhi 

The today at 73.5 million tonne, marginally lower than the earlier projection of 74.05 million tonne but higher than the trade's reckoning of below 73 million tonne.
The revised estimate is around 1.4 million tonne higher than last year's 72.11 million tonne.
A statement issued by the ministry indicates that the downwards revision in the official estimates is largely due to reports of lower harvests in Punjab, Haryana and Uttar Pradesh. These states together have scaled down their wheat output estimates by around two million tonne.
Madhya Pradesh, on the other hand, is expecting a record wheat production of over 8.58 million tonne this year.

This is about 1.3 million tonne higher than the previous estimate released in March-end.

The revised estimates are based on the latest reports received from the state governments, the ministry statement said.
However, the procurement of wheat by the and state grain purchasing agencies has so far been only around 15 million tonne against last year's total procurement of 16.7 million tonne.
There have been reports of higher wheat purchases by the private trade this year in anticipation of rise in prices later in the season. Many medium and large farmers are reported to have kept a part of their produce for deferred sales in the hope of realising better returns.
But the official circles seem confident that grain prices would remain more or less stable because of comfortable market availability and adequate stocks in the government's kitty.

First Published: Sat, June 04 2005. 00:00 IST