# Govt caught in no man's land as foodgrain mountains keep growing taller | Economy & Policy News - Business Standard

> Government grain stocks held by India's Food Corporation of India (FCI) keep growing as open-ended procurement of wheat and rice continues. Haryana mandis briefly shut to paddy farmers before reopening, and a farm-cost commission has urged a review of the procurement system. The article ties the stock burden to inadequate food subsidy budgets and fiscal deficit concerns.

- Date: 2019-11-13 · published 2019-11-13T12:00:00.000Z
- Category: policy · region India · magnitude medium
- Page: https://feedsoft.ai/events/56035-govt-caught-in-no-man-s-land-as-foodgrain-mountains-keep-growing-taller-economy
- Commodities: [Wheat (SRW)](https://feedsoft.ai/c/WHEAT.md), [Rough Rice](https://feedsoft.ai/c/RICE.md)

## Why it matters

Large state stockpiles cap domestic wheat and rice prices and make export surpluses more likely, which pressures world prices lower. Any shift away from open-ended procurement could eventually tighten or redirect supply.

## Read by commodity

- RICE: bearish ▼
- WHEAT: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| WHEAT | 2024-07-10 | [Govt allows FCI to sell wheat from stocks to flour millers, biscuit makers \| Agriculture - Business Standard](https://feedsoft.ai/events/29223-govt-allows-fci-to-sell-wheat-from-stocks-to-flour-millers-biscuit-makers.md) | -4.1% | -2.7% |
| WHEAT | 2019-10-15 | [Granaries overflowing, Food dept’s SOS to MEA: Send wheat, rice as aid to deserving countries \| India News - The Indian Express](https://feedsoft.ai/events/56513-granaries-overflowing-food-dept-s-sos-to-mea-send-wheat-rice-as-aid-to.md) | -1.3% | +0.7% |
| WHEAT | 2022-12-13 | [Wheat exports ban review likely in March - Economy News \| The Financial Express](https://feedsoft.ai/events/38201-wheat-exports-ban-review-likely-in-march-economy-news-the-financial-express.md) | -1.7% | -4.2% |
| WHEAT | 2019-09-19 | [Govt wants to dump excess food grain in Africa](https://feedsoft.ai/events/57021-govt-wants-to-dump-excess-food-grain-in-africa.md) | +2.2% | +2.8% |
| WHEAT | 2026-01-30 | [Govt likely to consider allowing export of wheat \| India News - The Times of India](https://feedsoft.ai/events/21011-govt-likely-to-consider-allowing-export-of-wheat-india-news-the-times-of-india.md) | -0.3% | +3.1% |
| RICE | 2019-12-09 | [Govt may ask FCI to sell 1.5 MT broken rice for grain-based biodiesel units \| Economy & Policy News - Business Standard](https://feedsoft.ai/events/55669-govt-may-ask-fci-to-sell-1-5-mt-broken-rice-for-grain-based-biodiesel-units.md) | +1.7% | +4.3% |
| RICE | 2023-01-09 | [Govt mulls lifting rice export curbs as supply improves, prices stabilise \| Economy & Policy News - Business Standard](https://feedsoft.ai/events/37758-govt-mulls-lifting-rice-export-curbs-as-supply-improves-prices-stabilise.md) | +2.1% | +0.3% |
| RICE | 2024-10-02 | [Rice battle heats up as India, Pakistan lift export curbs \| Business and Economy News \| Al Jazeera](https://feedsoft.ai/events/12946-rice-battle-heats-up-as-india-pakistan-lift-export-curbs-business-and-economy.md) | -1.1% | -2.4% |

## Sources

- business-standard.com: https://www.business-standard.com/article/economy-policy/govt-caught-in-no-man-s-land-as-foodgrain-mountains-keep-growing-taller-119111301810_1.html

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.