Reduction in retail price is targeted in the e-auctions to encourage small and marginal end users along with their maximum participation
As a part of the Government of India’s initiative for market intervention to control the retail price of rice, wheat and atta, weekly e auctions of both wheat and rice are organised. The 11th e-auction of 2023-24 was held. A quantity of 2.0 LMT wheat from 500 depots and 4.89 LMT rice from 337 depots were offered from across the country.
In the e-auction, 1.66 LMT wheat and 0.17 LMT rice were sold. The weighted average selling price was Rs. 2169.65/qtl for FAQ wheat against the reserve price of Rs. 2150/qtl Pan India whereas the weighted average selling price of URS wheat was Rs. 2150.86/qtl against the reserve price of Rs. 2125/qtl.
The weighted average selling price was Rs. 2956.19/qtl for rice against the reserve price of Rs. 2952.27/qtl Pan India.
In the current tranche of e-auctions, the reduction in retail price is being targeted by offering up to 100 tons maximum for a buyer for wheat and 1000 tons for rice. This decision is to encourage small and marginal end users and to ensure that more participants could come forward and bid for the quantity from their depot of choice.
In order to avoid hoarding of stocks traders were kept out from the ambit of wheat sale under OMSS (D) and regular checks/inspections are being made at the Flour Mills of the processors who have purchased wheat under OMSS (D). Till 05.09.23 898 checks across the country have been made.
