The Punjab Flour Millers Association has called on the Food Corporation of India (FCI) to significantly increase the wheat quota allocated to Punjab under the Open Market Sale Scheme (OMSS).

The association highlighted a severe shortage of wheat in the state's mandis, with most supplies now dependent on FCI wheat.

Despite a recent increase of 2,000 tonnes in the weekly e-auction quota on December 26, the association believes this is insufficient to meet the high demand from flour millers and processors.

Punjab, being a major contributor to the central pool of food grains, faces a unique challenge. Much of the wheat produced in the state is bought by government agencies at the minimum support price (MSP), leaving farmers with minimal stock to sell in the open market.

As a result, wheat availability from local farmers has been nearly depleted by June-November, when they sold off their surplus stock at attractive prices.

Although the FCI began selling wheat under the OMSS in December, millers and processors, who cannot afford to stockpile large quantities of wheat for the entire year, are finding it increasingly difficult to meet their demands.

With wheat sowing having concluded and the new harvest not expected until April, there is growing concern that, without additional government supply, mills may need to cut back on production.

The Flour Millers Association has also recommended extending the wheat auction process in Punjab through March 2025, ensuring a continuous supply until the new wheat crop arrives.