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Resource centre on India's rural distress
 
 

Should India Stop Wheat Exports To Feed Its Poor? -Kamalika Ghosh

-Outlook India

Better prices luring Indian farmers to sell their produce to private traders for sale in the global markets. Should India need to worry?

One man’s loss is another man’s gain. And here, in a rare circumstance, the Indian farmers seem to be on the gaining side. First, the Centre had to bow in front of the community and revoke its three farm laws, and now, because of the Russia-Ukraine war, their produce is in huge demand in the international market. In fact, the situation has come to a point where Indian farmers are not willing to sell their produce to the Centre as they are being offered better prices for their crops by private traders. 

Reports suggest that wheat is being exported at the rate of Rs 24,000 to 25,000 per tonne (2,400 to 2,500 per quintal), which is 19 per cent higher than the government’s set minimum support price (MSP) of Rs 2,015 per quintal. But there’s a segment of experts who have rung the alarm bell. According to them, if India continues to export its wheat in the international market, we may end up increasing the price of the crop for the poor. The government's Public Distribution System (PDS) may also come under stress. 

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