Since the Centre has yet to publish the Open Market Sale Scheme (OMSS) for wheat for the current year, consumers are likely to see a price hike in breads, biscuits, and rotis starting next month. In the absence of the OMSS plan, which regulates open market supply and prices, aata, bread, and biscuit makers anticipate runaway inflation and lean season shortages.
On its website, the Food Corporation of India (FCI) states that it sells wheat under the OMSS program from time to time to increase availability of foodgrains, particularly wheat, during the lean season and thereby moderate open market prices, particularly in shortage areas.
The lifting of wheat from the FCI by the milling sector can range from minimal amounts to roughly 7-8 million tonnes per year, depending on the market position of wheat.
In 2021-22, the domestic wheat processing industry received 7 million tonnes of wheat from the government. If the government does not designate the OMSS policy to be continued this year, the industry will have to buy all of its wheat on the open market.
