Wheat consumption trends in India

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Wheat consumption trends in India

  • Gujarat and UP both BJP ruled states-have demanded more wheat in place of rice and asked Centre to restore their original allocations under National Food Security Act (NFSA)2013, or change wheat-rice allocation ratio that was revised by Union Food Ministry recently.

What was this revision?

  • Centre has reallocated some quantities by changing ratios of wheat and rice under NFSA.
  • Eg: States getting Wheat and rice at a 60:40 ratio will now get it at 40:60, while those getting allocations at 75:25 would now get these at 60:40.
  • States where rice allocation has beRen zero will continue to get wheat.
  • For small states, NE states and special category states, allocation has not been changed.
  • Cut in wheat allocation under Pradhan Mantri Garib Kalyan Anna Yojana (PMGKY) for until September.

Which states are affected by the revision?

  • Reduced Wheat allocation: Bihar, Jharkhand, Odisha, West Bengal, Delhi, Uttar Pradesh, Gujarat, Maharashtra, Madhya Pradesh and Tamil Nadu.
  • After revision, combined monthly wheat allocation of these 10 states came down to 9.39 lakh tonnes from 15.36 lakh tonnes.
  • They will be provided additional rice equal to the cut in wheat allocation.
  • Cut has been announced in the tide over allocation of wheat for Uttarakhand, Kerala and Tamil Nadu.

What are the consumption trends?

  • National Sample Survey Office(NSSO): Household Consumption of various Goods and Services in India, 2011-12 report had risen by about 0.1 kg per person per month since 2004-05 in rural areas and fallen 0.35 kg in urban areas.
  • Wheat: against the national average monthly per capita consumption of 4.288 kg (rural) and 4.011 kg (urban), consumption was higher in UP, MP, Bihar, Delhi and Maharashtra, and lower in Odisha, West Bengal and Tamil Nadu.
  • In Gujarat and Jharkhand, it was lower than the national average in rural areas and higher in urban areas.

Why has procurement fallen?

  • Lower production.
  • Supply disruption caused by Russia's invasion of Ukraine
  • Adverse weather
  • Domestic traders offered prices higher than government's minimum support price
  • Farmers sold their produce to private traders, effectively reducing government procurement.

How wide is NFSA coverage?

  • Two type of beneficiaries:
  • Antyodaya Anna Yojana households (entitled to 35 kg foodgrains per household per month)
  • Priority Households(5 kg per person per month) Rice is provided at Rs 3 per kg,wheat at Rs 2 per kg and coarse grainsat Rs1 per kg.