New Delhi, Mar 30 (KNN) In a move aimed at preventing hoarding and speculative price hikes, the Indian government has mandated that traders, retailers, and food processors must declare their wheat stocks every Friday starting from April onwards.

The decision comes as India, the second-largest wheat consumer globally after China, has been grappling with containing wheat prices after heat waves adversely impacted production for two consecutive years. This situation forced the government to sell record volumes of wheat from its reserves to boost domestic supplies.

While India had previously imposed limits on the wheat stock quantities that traders could hold to moderate prices, these restrictions are set to expire on March 31st.

In a statement, the Central government emphasised that the new measure is aimed at 'managing overall food security and preventing hoarding and unscrupulous speculation' in the wheat market.

The urgency behind this move is underscored by the fact that stocks in government warehouses have dropped to 9.7 million metric tons by the end of February, the lowest level since 2017.

In the previous year, the government's wheat procurement from local farmers stood at 26.2 million tons, significantly lower than its target of 34.15 million tons, highlighting the production shortfall.

By mandating weekly stock declarations, the authorities seek to maintain transparency in wheat inventories and curb any attempts at hoarding or excessive speculation, which could further exacerbate price pressures on a commodity that is critical to India's food security.

(KNN Bureau)