India: Centre revises wheat stock limit second time in three months ahead of festival season

To prevent hoarding and unscrupulous speculation during the upcoming festive season, the Centre has imposed stock limits on wheat for traders, retailers, large chain retailers, and processors across all states and union territories.

In the latest revision, the central government has reduced the stock limit for traders and wholesalers from 3,000 metric tonnes (MT) to 2,000 MT. For retailers and large chain retailers, the limit has been reduced from 10 MT to 8 MT.

For big retail chains, 8MT will be the maximum stock that can be held at all their retail outlets and depots put together. Additionally, for processors, the stock limit is now set at 60% of their monthly installed capacity, down from the previous limit of 70% of their monthly processing capacity.

The Centre has decided to revise the wheat stock’s limit applicable until March 31, 2026. The last stock limit revision was imposed on May 27 of this year, just after end of procurement season.

The order has directed commercial entities to declare stock position on the government portal created by the Department of Food and Public Distribution.

It also said that if any entity stocks higher than the prescribed limits, they should bring it down to the specified limit within 15 days of issuing this notification and should ensure that stock is regularly declared.

Officials of the Central and State Governments will be closely monitoring the enforcement of these stock limits to ensure that no artificial scarcity of wheat is created. The government claimed that the country had registered a total production of 1175.07 Lakh Metric Tonnes (LMT) of wheat during the crop year 2024-25.

“Central Government has procured 300.35 LMT wheat in Rabi Marketing Season 2025-26 through State Agencies or Food Corporation of India which is sufficient to meet requirements of public distribution, open sale, and other markets interventions,” it further states.

• Stock limit for traders, wholesalers from 3,000 MT to 2,000 MT
• For retailers and large chain retailers, limit reduced from 10 MT to 8 MT
• For processors, stock limit reduced from 70%-60% of monthly installed capacity
• If stocks higher than prescribed limits, it should be brought down in 15 days

• Total production of 1,175 Lakh Metric Tonnes of wheat in 2024-25