The government has decided to cancel the import tender
floated for 1 million tonnes of wheat, citing high prices
quoted by global suppliers. It also extended wheat procurement
period in Punjab and Haryana.
have decided to cancel the tender as the price of $263
per tonne quoted by the bidder is high considering that
the international prices are expected to soften following
hopes of high global output," a senior food ministry
State Trading Corporation, which floated the tender, had
received seven bids from international trading firms at
between $265.50 and $296 per tonne - about a fifth more
than what the country paid last year.
negotiated with bidders Glencore and Toepfer to bring
down the lowest price offered to $263 per tonne for 300,000
tonnes of wheat, traders and officials said.
proposal, however, has been shot down by the food ministry.
imports were meant to bridge the gap in local procurement.
country imported 55 lakh tonnes of the foodgrain last
year, after a six-year gap, to augment stocks for distribution
under public distribution system (PDS).
of the total procurement target of 151 lakh tonnes, 104
lakh tonnes were procured as of May 29. As much as 93,111
tonnes of wheat was procured on that day itself.
by the trend, the government has decided to extend the
period for wheat procurement and the bonus of Rs100 per
tonne by 15 days till June 15 for the main suppliers -
Punjab and Haryana.
the wheat procurement is expected to fall short of the
target, the reports of stock holding by farmers on expectations
of higher prices has brought hopes of larger than expected
purchase for the ration shops.