India exported 370,000 tonnes of wheat under the government-to-government (G2G) mechanism to countries that require priority access to grains as of early August. However, requests for Indian wheat from many other countries remain pending.
The government had halted private wheat exports with immediate effect on May 13. Subsequently, it restricted exports of wheat flour and other related products such as maida, rava (semolina), wholemeal atta, and resultant atta.
The decisions came amid widespread loss of yield due to abnormal heat waves in the major wheat-growing states of Punjab, Haryana, Uttar Pradesh, and Madhya Pradesh. Large quantities of the crop shrivelled due to the heat and, in certain cases, had become unfit for human consumption.
However, the government kept open the option to export wheat as a tool of economic diplomacy. Subsequently, India permitted the grain to be bilaterally exported to other nations at their request in order to counter the spiralling global food crisis following the drop in wheat output.
Prioritising access
Since May, about a dozen countries had reached out to the ministry of external affairs, seeking clarifications on whether their requests for Indian wheat would be fulfilled. On the other hand, as many as 47 countries sought food grains from India, with many others hinting they would also need them.
“All those nations have now been responded to and many of them have received wheat shipments,” a ministry official said. “As much as 3.7 lakh tonnes of wheat have been dispatched under the G2G mechanism. While demand from many countries remains, we have been strict on monitoring the flow of Indian wheat and ensuring that it reaches the markets which really require it.”
Officials from across ministries argued that it was misleading to say that India had curbed wheat exports when they have only been regulated.
Exports, albeit under government supervision, have remained open to nations that are in a food deficit and vulnerable and India's neighbours.
Bangladesh, Qatar, Nepal and the United Arab Emirates qualified for receiving Indian wheat under the G2G mechanism. More nations are being assessed as the ministry of external affairs and the commerce department keep an eye on the changing nature of the global wheat shortfall.
Media reports had pointed out that the sudden ban on private exports trapped 1.8 million metric tonnes of wheat at various ports across the country.
“This had initially led to some confusion for other nations and created a scramble for securing Indian wheat as soon as possible. That is why there was a rush of nations calling to confirm if their requests would be made. But most of the initial hitches were speedily solved,” a commerce department official said.
Total exports
Officials continued to stress on India's overall exports of 3.8 million tonnes so far in FY23 and its role in mitigating the global wheat crisis to a large degree.
“Three years ago, we exported 0.2 million tonnes. Two years ago we exported 2 million tonnes and one year ago, as much as 7 million tonnes. This year, we have exported 3.8 million tonnes of wheat so far,” another official said. This is more than what India exported two years ago, he said, adding that such a large expansion in supply was unmatched globally.
Just before the ban, the government estimated that about 4.5 million tonnes of wheat had been contracted for exports in the current financial year. April, the last full month before the ban, saw 1.46 million tonnes exported.
The government emphasised that there is no shortage of wheat in India and that the export restrictions have worked to stabilise prices.
“As on 1.07.2022, the actual stock of wheat is 285.1 lakh metric tonnes against the buffer norm of 275.8 lakh metric tonnes,” Union agriculture minister Narendra Singh Tomar told the Lok Sabha in a written reply during the recently concluded Parliament session.
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