India to offer 3m tonnes of wheat to bring down prices

NEW DELHI/MUMBAI: India will provide 3 million tonnes of wheat to bulk consumers such as flour millers, as part of efforts to bring down prices, which jumped to a record high on Wednesday, a government official told Reuters.

The allocation is more than traders’ expectations of around 2 million tonnes. The market was waiting for government permission for nearly two months as supplies dwindled at the tail end of the wheat marketing year even as demand surged.

“There’s this consensus that bulk users will be allowed to buy up to 3 million tonnes of wheat from government stocks,” said the official who did not wish to be named in line with official rules.