India’s Wheat Production May Hit A Fresh Peak If Weather Remains Favorable This Year

MUMBAI (Commoditiescontrol) - India is likely to grow a record production of wheat in the ongoing rabi season 2016-17 if weather condition remains favorable till the time of harvest as acreage has increased with expectation of better productivity. The weather condition is reported favorable for the wheat crop in the major wheat producing states, though, temperature has come down in north India but it is as much as required for the wheat crop at present, said Dr. Shiva Dhar Misra, Principal Scientist, Indian Agricultural Research Institute (IARI).

As per the present weather condition and area under wheat crop recorded so far, it appears that the target set by the government for production of wheat at 965 lakh tonnes in the current rabi season will be achieved. If weather condition favors during harvesting season, the yield will also improve, he added. The average yield is expected to remain around 3000-3200 kilogram a hectare this year.

The farmers have taken much interest in wheat farming across the country in ongoing rabi sowing season as prices of the commodity registered a sharp rise so far in the current crop season 2016-17 (July-June) due to low production and supply of wheat in the country.

As a measure to increase the supply of wheat in the domestic market and check the prices, the government scrapped the import duty on wheat last month. India’s wheat imports rose sharply since September 2016 after the government reduced import duty on wheat from 15 percent to 10 percent and zero percent finally in December, 2016.

India has imported nearly 18-19 lakh tonnes of wheat so far and total imports may touch 30 lakh tonnes this financial year as buyers from port towns are active in overseas purchases, Veena Sharma, Secretary, Roller Flour Mills Federation of India. According to her, contracts for imports of 27 lakh tonnes of wheat have already been singed; hence 8-9 lakh tonnes of grain are likely to reach in Indian ports by the next month. As per the market reports, nearly 10 lakh tonnes of wheat will arrive from overseas by February 20, 2017.

Meanwhile, United States Department of Agriculture (USDA) has raised the estimates for India’s wheat imports in the year 2016-17 by 7 lakh tonnes to 37 lakh tonnes in its latest reports released last week. As per the USDA’s January reports on supply and use of grain, beginning stocks and production of wheat in India are steady at 145.4 lakh tonnes and 900 lakh tonnes respectively, while consumption demand has been raised to 968.4 lakh tonnes against 961.4 lakh tonnes projected in December 2016 reports. Also, exports and ending stocks estimates are unchanged at 4 lakh tonnes and 110 lakh tonnes respectively.

However, Union Agriculture Ministry estimated wheat production for 2015-16 at 935 lakh tonnes in fourth advance estimates. The highest production of wheat was estimated at 958 lakh tonnes in 2013-15.

As on January 12, 2017 wheat sowing was complete in 309 lakh hectares of land across the country while the figure of wheat acreage in the corresponding week last year was only at 289.07 lakh hectares. Normal area under wheat crop in the country remains in India at 304.05 lakh hectares while the highest acreage of wheat was seen at 313.69 lakh hectares in the year 2013-14.

A good monsoon led to the presence of avertable moisture in soil, a record sowing of wheat in 61.69 lakh hectares has been completed in Madhya Pradesh, the second largest wheat cultivating state in the country after Uttar Pradesh which has also recorded 98.22 lakh hectares, a little lower from 98.67 lakh hectares in 2014-15 while the highest area under wheat crop was in the state was in 2013-14 at 99.56 lakh hectares.

Uttar Pradesh produced 2.2 crore tonnes of wheat last year as compared to 1.84 crore tonnes produced by MP in the same duration. With rise in productivity estimating an average yield of 36 quintals per hectare, the production of wheat may touch to 2 crore tonnes in Madhya Pradesh, a record high, standing as the second largest wheat grower in the country.

Area under top great of wheat, Sharbati, mostly grown in Madhya Pradesh has increased this year, said Harish Kumar, a Ganj Basoda-based trader who also deals in seed. According to him farmers have in Ganj Basoda and nearby area have cultivated Sharbati wheat in larger area as his sales of seed of Sharbati variety remained 30 percent up this year as compared to corresponding year-ago period.

(By Commoditiescontrol Bureau; +91-22-40015533)