Flour Millers Seek Policy Stability as Wheat Output Rises Slightly

Context The past year saw sharp swings in wheat prices and financial strain across the value chain, driven by higher input, logistics and packaging costs linked to global geopolitical tensions. Millers say intense competition limits their ability to pass costs onto buyers, squeezing margins. They refer to the Rabi season as the winter‑sown wheat crop and note that the Open Market Sale Scheme (OMSS) governs government wheat sales to the market.

Key Facts The government forecasts Rabi 2025‑26 wheat production at 1,106.5 lakh metric tonnes, up from 1,096.3 lakh metric tonnes the previous year. Sown area grew to 348.34 lakh hectares, with average yield reaching 3,176 kilograms per hectare. Gains in Madhya Pradesh, Rajasthan and Haryana offset losses in Uttar Pradesh, Punjab, Bihar and West Bengal. Unseasonal rain and hail in late March‑early April severely hit crops in Punjab and West Bengal, with moderate impact in Haryana, Bihar and Rajasthan.

What It Means Millers argue that stable policies would help them plan purchases, manage inventories and maintain operations despite market turbulence. They are asking for regular release of national wheat stock data, clear OMSS pricing and schedules, open export licences for all wheat products, freight support for value‑added exports and a liquidity scheme similar to the Emergency Credit Line Guarantee Scheme. The industry will watch for government responses to these requests, upcoming monsoon forecasts and any adjustments to procurement or export policies that could affect prices and margins.

What to watch next: policy announcements on stock transparency and OMSS, and the evolution of weather conditions in the remaining wheat‑growing regions.