Wheat Procurement at MSP Hits Four-Year High with Over 29.7 Million Tonnes Bought So Far

26 May 2025, New Delhi: Government procurement of wheat during the Rabi Marketing Season 2025–26 (April to June) has surpassed 29.7 million tonnes, marking the highest level in the past four years. According to official data, as of May 22, this figure is the most substantial since the 2021–22 season.

This surge in procurement aligns with a projected record wheat output of 115.43 million tonnes for the current Rabi season—around 2% higher than last year’s estimate of 113.29 million tonnes. The Ministry of Agriculture attributes this increase to favorable weather conditions and the absence of significant crop damage from natural disasters.

As per the Food Corporation of India (FCI), wheat procurement so far this season has exceeded last year’s figures for the same period by approximately 13.5%. Major wheat-producing states have nearly completed their procurement operations.

State-wise Procurement Overview

Punjab has once again emerged as the top contributor. According to a senior official from the state’s Food and Civil Supplies Department, around 11.9 million tonnes of wheat have been purchased by government agencies. Additionally, private traders have bought nearly 1 million tonnes, bringing the total wheat arrivals in Punjab’s mandis to approximately 13 million tonnes.

Madhya Pradesh and Haryana have recorded procurement levels of 7.77 million tonnes and 7.14 million tonnes, respectively. Rajasthan has reported 1.83 million tonnes, while Uttar Pradesh has seen around 1 million tonnes of wheat purchased.

Madhya Pradesh and Rajasthan have witnessed a notable rise in government procurement this year, largely attributed to state-announced bonuses. Madhya Pradesh offered a ₹175 per quintal bonus over the Minimum Support Price (MSP) of ₹2,425 per quintal, while Rajasthan provided a ₹150 bonus. Last year, Madhya Pradesh had procured 4.8 million tonnes, and Rajasthan 1.2 million tonnes.

Central Procurement Target and Outlook

The central government had set a wheat procurement target of 31.2 million tonnes for the current season. The target included contributions of 12.4 million tonnes from Punjab, 7.5 million tonnes from Haryana, 6 million tonnes from Madhya Pradesh, 3 million tonnes from Uttar Pradesh, and 2 million tonnes from Rajasthan.

Recently, Union Minister for Food and Consumer Affairs, Prahlad Joshi, suggested that total procurement could reach between 32 and 32.5 million tonnes.

The wheat being procured by government agencies will play a crucial role in strengthening the buffer stock for the Public Distribution System (PDS). It will also equip authorities to manage market interventions in case of price fluctuations.

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