Centre ups wheat allocation after two years under PMGKAY, but states still face 12-20% shortfall vs 2022

On May 13, 2022, the Centre reduced the wheat allocations for nine states and one UT — Bihar, Gujarat, Jharkhand, Madhya Pradesh, Maharashtra, Odisha, Tamil Nadu, Uttar Pradesh, West Bengal, and Delhi — starting June 2022. To compensate, the Centre gave an equivalent increase in rice allocation. However, Delhi does not figure in the list and will continue to receive its current allocation of 22,433.59 metric tonnes, down from 29,705.43 metric tonnes before the cut in May 2022.
Union Food Secretary Sanjiv Chopra had announced on September 18 that a Committee of Ministers has approved an increase of 35 lakh metric tonnes of wheat under the PMGKAY/NFSA.

Under the NFS Act, 2013, beneficiaries are entitled to receive food grains at subsidised rates — rice at `3/kg, wheat `2/kg, and coarse grains `1/kg. In November last year, the Centre decided to provide free foodgrains to NFSA beneficiaries under PMGKAY for five years from January 1, 2024.

This could be the first step towards restoration of the wheat quota under NFSA, which was reduced by the government on May 13, 2022 following a dip in wheat production and stock and rise in prices that year.

Wheat stock in the central pool fell to 303.46 lakh MT as on May 1, 2022 from 525.65 lakh MT a year ago. As per the data available with the Food Corporation of India, wheat stock in the central pool stood at 251.46 lakh MT as on September 1, 2024.

The wheat allocation reduction became one of the issues during the 2024 Lok Sabha elections, with states like Uttar Pradesh and Gujarat pushing for more wheat under the food security law. Odisha BJP government also demanded an increase in the state’s wheat allocation, which became zero from 24,830.48 metric tonnes per month in May 2022. It has been increased to 19,906.01 metric tonnes.