Although wheat production is forecast to fall to its lowest level in four years, India’s government on Aug. 21 reiterated that it had no plans to import wheat, Reuters reported.
The announcement followed reports from several media outlets that India, which has seen its current crop damaged by severe drought, was planning to import wheat.
India has a 40% tariff on imported wheat.
India’s Department of Food and Public Distribution said on twitter: “There is no such plan to import wheat into India. Country has sufficient stocks to meet our domestic requirements and Food Corporation of India has enough stock for public distribution.”
Although local wheat prices reached a record $305 per tonnes on Aug. 19, Egypt’s supply minister, Aly Moselhy, said on Aug. 22 that India’s agreement to export 180 million tonnes of wheat to Egypt still stands, Reuters said.
India, which had produced three straight bumper wheat crops prior to this year, announced in the spring that it planned to increase exports to help ease global supply concerns, only to reverse course several weeks later after it became apparent that this year’s drought would severely hamper production.
India has repeatedly said the export ban imposed on May 14 does not apply to the agreement it reached with Egypt.
The world’s second largest wheat producer, India’s wheat output in the 2022-23 marketing year is forecast at 103 million tonnes by the Foreign Agricultural Service of the US Department of Agriculture, which would be the smallest crop since the 2018-19 season.