Flour millers’ federation demands reduction of import duty on wheat to 5-10%
By Harikishan Sharma
A body of Indian wheat flour millers has demanded the duty on wheat imports be reduced from 40 per cent to 5-10 per cent, stating that it will help flour millers in South India and increase wheat availability in various parts of the country.
Speaking to reporters on the sidelines of an event in Panaji, Goa, titled ‘The Future of Milling: Vision 2030 & Beyond’, Roller Flour Millers’ Federation of India president Navneet Chitlangia said, “After the procurement (of wheat by the Centre) is over… the government should reconsider. Once they reassess the crop size, their procurement and the remaining quantity in the market, then they may adjust the 40 per cent duty and calibrate it in a way so that it creates a possibility for import.”
“Even if 2-3 million tonnes of wheat are imported, then the narrative of India having a low crop size will be ended. It needs to be ended because our industry goes through a very difficult time… That’s why we are asking the government that post-procurement, you should rationalise the 40 per cent duty on wheat imports. Bring it down to zero or whatever you want,” he said.
The federation has made several representations to the government in this regard. “We want that availability should increase as much as possible to curb market volatility,” Chitlangia added.
India hiked the duty on wheat imports from 30 per cent to 40 per cent in April 2019, and it has remained at that level since then.
The demand is significant as wheat prices have increased sharply in recent years. The Consumer Price Index-based retail inflation of wheat has risen since February last year, reaching 8.8 per cent in January 2025.
Discussing the federation’s estimates about wheat production, Chitlangia said the industry estimates wheat output to reach 110 million tonnes during the ongoing rabi season (2024-25).
Last year the federation estimated wheat output at 106 million tonnes, while government estimates were at 113 million tonnes. In the past two years, the government has procured 26 million tonnes of wheat for the central pool. However, for the upcoming rabi marketing season, it has set a target of procurement of 31 million tonnes of wheat. At the beginning of March, the wheat stock in the central pool was 14.41 million tonnes, which is well above the April 1 buffer norm of 7.46 million tonnes.
The federation has also demanded the establishment of a wheat board—along the lines of the Makhana Board announced in the Union Budget 2025-26—to promote research activities and support the all-round development of farmers as well as processing industries.
In his message, which was read out at the event, Food Secretary Sanjeev Chopra said the government has sufficient stocks of wheat to meet its own requirements and also for necessary market interventions. This year, the government has offloaded 30 lakh metric tonnes of wheat to processors or millers through the Open Market Sale Scheme-Domestic (OMSS), he said.
This article has been republished from The Indian Express.