Wheat stable amid weak demand, ample stocks

Procurement operations, comfortable availability and subdued rural buying continue limiting major fluctuations across domestic grain trading centres

Prices of wheat, rice and maize remained largely steady across key spot markets in the country on Wednesday amid balanced demand and supply conditions, traders said. Wheat prices are expected to remain stable in the near term, supported by the government’s ongoing procurement operations and ample stock availability.

  In Indore, wheat prices remained unchanged at ₹2,600 per 100 kilograms due to stable demand and comfortable supply in the market. Traders said demand is likely to stay subdued as rural buyers have already stocked up on grains and other essentials for the coming months.

   Market participants said both the government and large private buyers currently hold sufficient wheat stocks, including carryover inventory from last year, limiting chances of any major price rise in the near term. Government procurement has also helped support prices despite weak market activity. 

  As of Tuesday, wheat procurement stood at 34.54 million tonnes, registering an increase of over 16% compared to the previous year. Procurement operations have been completed in Punjab and Haryana, while purchases continue in Uttar Pradesh, Madhya Pradesh and Rajasthan.

  In Kota, Rajasthan, wheat prices were steady at ₹2,340-₹2,360 per 100 kg, while arrivals remained stable at around 20,000 bags. 

  Prices in Vashi, Navi Mumbai, were also unchanged at ₹2,700 per 100 kg. Meanwhile, maize prices in Indore rose marginally by ₹5 to ₹2,185 per 100 kg. Traders said the increase was negligible as market fundamentals remained largely unchanged. However, they expect prices to gain support in the coming weeks due to lower arrivals of the summer crop and higher demand from the ethanol sector.

  In Davanagere, Karnataka, maize prices remained stable at ₹1,800-₹2,050 per 100 kg with steady arrivals.

  Rice prices also remained unchanged in Vashi amid weak market activity. Basmati rice varieties 1409 and 1509 were quoted at ₹9,100-₹9,200 and ₹8,200-₹8,300 per 100 kg, respectively, while the 1121 variety traded at ₹10,000-₹10,200 per 100 kg.  

—Informist