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India May Sell More Wheat on Open Market to Calm Prices

Last year, the wheat yield saw a drop of up to 4.5 percent, after which domestic prices spiked and later forced the Indian government to impose a 40 percent import duty on the yield.
Sputnik
In a bid to control the rising price of wheat, the Indian government on Monday shared that it might sell more wheat on the open market.

"There's no shortage of wheat in the country, and all possibilities are being considered by the government to stabilize prices", Food Secretary Sanjeev Chopra told media as the price of wheat reached its highest in the past eight months.

The government may sell more wheat to bulk consumers, such as flour millers and biscuit makers, to stabilise prices, the food secretary stressed.
The cost of staple foods such as rice, tomato, and onion, among others, has been rising for the past a few months, with the Central Bank keeping an eye on the consumer market.
The inflation in vegetable and staple grain prices is taking place after several regions of the country witnessed uneven weather patterns last year, and then again in March and April of this year. India is the second-biggest producer and consumer of wheat.
India has entered its festive season, which will last until mid-November (the festival of lights - Diwali) with state elections following.
The country is set to hold parliamentary elections in April-May 2024. In such a scenario, the government is taking precautionary steps to ensure that staple crop prices remain under control.
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