Govt may raise import duty on wheat

The government is considering raising import duty on wheat from the current 20 per cent to boost sowing in the ongoing Rabi season and support domestic prices, sources said.

Last month, the government had doubled the import duty on wheat to 20 per cent to curb cheap shipments and give positive price signal to farmers in the Rabi season.

It was raised as private traders imported about 1 million tonnes of wheat since April at 10 per cent duty.

According to sources, the government is looking to raise import duty further to boost sowing operations and support local prices.

As per the latest data from the agriculture ministry, wheat acreage declined to 245.50 lakh hectares as on December 15 in the ongoing Rabi season from 250.48 lakh hectares during the corresponding period of the previous year.

Wheat sowing would pick up with northern states receiving good rains recently, Agriculture Secretary S K Pattanayak had said last week.

India's wheat production stood at record 98.38 million tonnes in the 2016-17 crop year (July-June).

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

Business Standard is now on Telegram.
For insightful reports and views on business, markets, politics and other issues, subscribe to our official Telegram channel