The tension of rising wheat prices is increasing because the stock of wheat in godowns is continuously decreasing. The country's three-month wheat requirement is about 1.4 million tonnes. So much stock must be present in the repository at all times. In April 2024, the government stock of wheat had fallen to about 7.4 million tonnes. This was the lowest stock in the last 16 years. However, the government then filled its reserves. Despite this, wheat price hike continues to rise.

Retail prices of wheat have touched Rs 50 per kg across the country, according to data released by the Consumer Affairs Ministry. The average price is Rs 31 and the minimum price is Rs 24 per kg.

Wheat prices have been volatile this year. According to the agriculture ministry, the highest wholesale price of wheat in Karnataka was Rs 3,310 per quintal between August 1 and 21, down 8.76 per cent from the previous year. 3619.69 per quintal in the same period of 2023. The wholesale price of wheat in Maharashtra this year is Rs 2939.82 per quintal, down 14.79 per cent from the same period last year. Last year, the price was Rs 3,451 per quintal.

However, as per the National Average, wheat prices have increased by 6.17 per cent over the previous year. 2690 per quintal this year as against Rs. 2393.43 per quintal last year.

Wheat flour prices were also affected

On August 21, 2024, the maximum wheat flour price reached Rs 65 per kg. The average price is around Rs 36 and the minimum price is Rs 28 per kg. Different states also have different flour prices, such as Rs 34 per kg in Delhi, Rs 42 per kg in Jammu and Kashmir, Rs 34 per kg in Haryana and Rs 44 per kg in Maharashtra.

Decreased wheat inflows?

Inflows in wheat markets have also declined. Wheat arrivals fell by 13 per cent from August 10 to 21, according to the data. A total of 4,78,659 tonnes of wheat was sold in the period as against 5,51,729 tonnes in the same period last year.