Wheat procurement crosses 24.6 million tonnes

Wheat procurement by the Food Corporation of India (FCI) and other state agencies have crossed 246 lakh tonnes so far in the 2009-10 marketing season on the back of higher minimum support price.     

The total procurement has reached 246.34 lakh tonnes so far compared with 221.96 lakh tonnes in the same period last year, the FCI data showed.    

Minimum support price (MSP) is the rate at which the government procures a particular commodity from farmers.    

The government procured 3,323 tonnes of wheat from Uttar Pradesh and Uttrakhand yesterday. Uttar Pradesh contributed the maximum 2,884 tonnes to the central pool.     

Experts said procurement has been better this year on account of higher minimum support price, despite lower production than last year. The government had raised MSP to Rs 1,080 from Rs 1,000 a quintal.     

The country is estimated to have harvested 77.63 million tonnes of wheat this year compared with 78.57 million tonnes last year.     

Wheat purchases started early this year on March 18 and are expected to continue till end of July due to late arrivals in Bihar. The marketing season for wheat procurement usually runs from April to June.     

Experts believe that the purchase is likely to cross 250 lakh tonnes by the end of the season. In the previous season, FCI and other state agencies had procured 226.89 lakh tonnes.