Indian government may raise minimum price paid to wheat farmers by 15% to 1,350 rupees/100 kilograms for marketing year beginning April 1, officials say
October 3, 2011
– Wheat farmers in India may see a 15% increase in the minimum price the state pays for grain, according to two government officials with knowledge of the proposal, Bloomberg reported Oct. 3.
India’s farm ministry recommended a price of 1,350 rupees (US$27.40) for 100 kilograms (220 pounds) of wheat to be given to farmers for the marketing year beginning April 1, up from 1,170 rupees this year, the officials said, who asked to remain anonymous because the plan is still not approved.
The cabinet could mull the proposal later in October, according to the officials.
India’s government is the largest buyer of food crops, buying them from farmers at guaranteed prices and selling them to low-income people at subsidized rates. The guaranteed prices are meant to protect growers from forced sales at low rates on the open market.
The primary source of this article is Bloomberg, New York, New York, on Oct. 3, 2011.