After Russia and Ukraine, the two of the world biggest wheat exporters, locked horns, Prime Minister Narendra Modi on Tuesday said the demand for India’s wheat in global markets has increased. This opportunity could be used to provide the best quality product globally and regularly, he said.
Russia is the second-largest and Ukraine the fourth-largest wheat exporters in the world. India is one of the world’s biggest producers of grain, but it exports a little of its produce as a major chunk of it goes for domestic consumption. India is expected to ship a record 7 million tonnes in 2021-22.
Earlier, speaking at a webinar, Modi said, “Agar mano dunia mein hamare liye gehun (export) ki opportunity aayi hai, to usko samay se pehle, uttam quality, uttam service ke saath hum provide karein, to dheere dheere woh permanent ban jayega”. (It’s as if a golden opportunity to export Indian wheat has knocked our door and we should seize this opportunity with best quality of grain and service, and slowly this arrangement will become permanent).
There is news of the rising demand of Indian wheat in global markets, and the financial sector, import-export departments as well as shipping industry should make a “comprehensive effort” to help wheat and other exports, he said via a video link.
The impact of the Russia-Ukraine war is also visible in India as wheat is selling at Rs 2,400-2,500 per quintal, quite above the minimum support price of Rs 2,015 per quintal in domestic mandis. The global wheat prices have already gone up and are ruling in the range of Rs 24,000-25,000 per tonnes so far. India primarily exports wheat to neighbouring countrieslike Bangladesh. Besides,it exports the grain to Yemen, Qatar, Afghanistan and Indonesia.
“Wheat prices have skyrocketed globally due to the geopolitical condition, especially since Russia and Ukraine, the world’s second-largest and fourth-largest wheat exporters respectively, have set themselves at war. This is an opportunity for Indian wheat exporters,” said officials of the food ministry.
“Russia and Ukraine together account for almost a quarter of the global wheat supply and most of their wheat goes to European countries. As the Western countries have imposed restrictions on Russia, they won’t import wheat from it. This will give India a chance tocapture European markets,” officials added.
India’s wheat production is estimated to touch a new record of 111.32 million tonnes in the 2021-22 crop year (July-June) as against 109.59 million tonnes in the previous year, of which a major chunk goes for domestic consumption.
Wheat, the main rabi (winter) crop, will start hitting the market from March 15 onwards. The country also has a surplus stock of wheat in the government godowns.