India exports wheat worth 473 USD in April weeks after ban by Central Govt

The Centre announced that India exported wheat worth USD 177 million in March and USD 473 million in April this year, just weeks after the Central government banned wheat exports to control price rises.

While India's expected wheat production for 2022-23 is near 105 million metric tonnes (MMT), it must meet domestic consumption requirements for its 130 million people (30 MMT required for food security schemes such as the National Food Security Act (NFSA),

Pradhan Mantri Garib Kalyan Anna Yojana (PMJKAY), and other welfare schemes for nearly 80 million poor and vulnerable people), as well as provide humanitarian aid.

In the Fiscal Year 2021-22, the government distributed 42.7 MMT of wheat through the NFSA and PMGKAY programmes, according to the government.

"Among wheat exporting countries, India ranked 19th in 2020, 35th in 2019, 36th in 2018, 36th in 2017, 37th in 2016, indicating that India has a negligible share (0.47%), whereas seven countries (Russia, the United States, Canada, France, Ukraine, Australia, and Argentina) have had the largest share in the overall quantity of wheat export in the previous five years." "Removal of nearly a quarter of wheat exports from Russia and Ukraine could have been avoided if a negotiation-based approach had been used instead of conflict," the data stated.

"However, since the conflict began on February 24, 2022, India has exported wheat worth USD 177 million in March 2022 and USD 473 million in April 2022, respectively, despite facing challenges of low wheat production as a result of an extreme heat wave that enveloped the northern part of the country, causing shrivelled grains and a drop in yield per acre," it continued.

According to the reports earlier this month, due to aggressive buying by private players for export purposes, the government's wheat procurement has dropped by 53 per cent so far in the 2022-23 marketing year compared to the year before.

There are at least eight countries (excluding India) that have implemented wheat export restrictions that are still in effect, including Egypt, Turkey, Kazakhstan, Kyrgyzstan, Kuwait, Kosovo, Ukraine, Belarus, and others. Egypt and Turkey have also been importing a significant amount of wheat from India, and they have no standing to ask for open exports after they have been restricted.