New Delhi: After a two-year gap, flour
millers may resume wheat import with the purchase of about
25,000 tonnes from abroad in the next two months, to start
with, as fears of the impact of drought have kept rates in the
domestic market firm and above global prices.
Flour millers said they are looking at markets like
Russia and Ukraine to import wheat this year, and if the
government does not take timely decision when to offload the
foodgrain from its reserves in the domestic market, they would
not have any option but to seek refuge in overseas purchases.
"Millers are likely to import 25,000 tonnes of wheat, to
start with, in two months," Roller Flour Millers Federation of
India President M K Dattaraj said, adding the quantity may go
up if the decision on sale from central reserves is delayed.
Earlier this month, an empowered group of ministers
decided to offload wheat in the local market from reserves,
whenever necessary, to curb price rise.
Dattaraj noted that domestic prices are ruling higher,
making import a more profitable option. Domestic prices are
ruling at Rs 13,300 a tonne, compared with the imported prices
of about Rs 12,200, he said.
The government had imported about 73 lakh tonnes of wheat
in 2006 and 2007 to run the public distribution system.
The Centre procured record quantity of wheat this year at
253 lakh tonnes for its reserves limiting, however, foodgrain
supply in the open market to some extent, he said.
Bureau Report
First Published: Friday, August 28, 2009, 16:43