Flour Millers Federation Urges Government to Increase Wheat Buffer Stocks and Provide GST Relief

24-Sep-2025 08:50 PM

Flour millers have requested the government to maintain 140% higher wheat buffer stocks. The Roller Flour Millers Federation of India (RFIF) suggested that instead of the current 7.5 million tonnes, 18 million tonnes of wheat should be kept in the buffer at the start of the season to ensure market stability and prevent price volatility.

Navneet Chitlangia, President of the Federation, said that India requires approximately 18.4 million tonnes of wheat annually to meet its public distribution system (PDS) needs. He urged the government to maintain a stock equivalent to one year’s requirement at the start of the season.

The millers also highlighted that sowing could be delayed in at least five districts of Punjab due to silt left behind by recent floods. They demanded a scientific study on the impact of DDGS (Dried Distillers Grains with Solubles) on cattle health and milk quality.

Other key demands include:

Gradual removal of restrictions on exports of wheat products such as atta, maida, and suji.

Free export of at least 1 million tonnes of atta to provide better price realization to farmers and access to global markets for the industry.

Reduction of GST on household packs (up to 25 kg) of atta, maida, and suji from 5% to zero.

Reduction of GST on milling machinery and wheat storage silos from 18% to 5%.

Incorporation of state agriculture mandi board cess into GST.

Government Response:

Union Food Minister Prahlad Joshi, addressing the Roller Flour Millers, said that the Centre cannot commit to allowing wheat product exports in FY26 until the final production figures are clear and the country’s food security needs are fully met.

Joshi’s comments came in response to the millers’ demand to allow more wheat product exports, after the government permitted bran exports a few months ago.

India had banned exports of wheat products such as maida and suji a few years ago to control domestic prices. Currently, the export of wheat itself is also not allowed.