After banning wheat exports in Might, the federal government on Saturday prohibited exports of wheat flour, maida, semolina and wholemeal aata with a view to curb rising costs.
Notifying a call of the union cupboard, the Directorate Common of Overseas Commerce, nonetheless, stated that exports of this stuff could be allowed topic to permission of the Authorities of India in sure circumstances. ‘Export coverage of things (wheat or meslin flour, maida, semolina, wholemeal aata, and resultant aata)… is amended from free to prohibited,’ in keeping with the DGFT’s notification. Semolina additionally consists of rawa and sirgi.
The DGFT added that the provisions underneath the international commerce coverage 2015-20, relating to transitional preparations, will ‘not’ be relevant underneath this notification.
On August 25, the federal government determined to place restrictions on the export of wheat or meslin flour to curb rising costs of the commodity. The choice was taken at a gathering of the Cupboard Committee on Financial Affairs. ‘The Cupboard Committee on Financial Affairs…has authorized the proposal for modification of coverage of exemption for wheat or meslin flour from export restrictions/ban,’ an official assertion has stated.
Russia and Ukraine are the most important exporters of wheat, accounting for round one-fourth of the worldwide wheat commerce. The battle between the 2 nations has led to international wheat provide chain disruptions, thus rising the demand for Indian wheat. In consequence, the value of wheat within the home market has proven a rise. To be able to guarantee meals safety of the nation, the federal government put a prohibition on export of wheat in Might. Nevertheless, this brought on a bounce in abroad demand for wheat flour.
Wheat flour exports from India have registered a progress of 200% throughout April-July 2022 in comparison with the corresponding interval in 2021. The elevated demand for wheat flour abroad led to important worth rise of the commodity within the home market. Earlier, there was a coverage to not prohibit or put any restriction on the export of wheat flour and subsequently, a partial modification of the coverage was required by withdrawing the exemption from ban/restrictions on export in an effort to guarantee meals safety and put a test on mounting costs of wheat flour within the nation, in keeping with that assertion. In 2021-22, India exported wheat flour value $246 million. The exports stood at about $128 million throughout April-June this fiscal.
The all-India common retail worth of wheat has risen by over 22% to Rs 31.04 per kilogram as on August 22, in comparison with Rs 25.41 per kg within the year-ago interval, in keeping with knowledge maintained by the patron affairs ministry. The common retail worth of wheat flour (atta) has elevated by over 17% to Rs 35.17 per kg as in opposition to Rs 30.04 earlier, the information confirmed.
Wheat costs in each wholesale and retail markets have additionally come underneath stress because of an almost 3% drop within the home output to 106.84 million tonnes within the 2021-22 crop yr.
Wheat manufacturing is estimated to have declined because of a warmth wave that resulted in shrivelled grains within the northern states of Punjab and Haryana. Business physique Curler Flour Millers’ Federation has raised issues relating to unavailability of wheat and the rise in costs in the previous couple of days.
