Government expected to calm rising wheat prices in India.
- Trade and government sources said Thursday that rising wheat prices in India could spur price-cooling measures including releasing state stockpiles into the open market and axing the 40% import tax.
- Wheat prices have soared, complicating the government’s efforts to curb food inflation.
- Local wheat prices hit a record 26,500 rupees a tonne on Thursday, up 27% since May’s export restriction.
- India, the world’s second-largest wheat grower and consumer, may sell state stocks to flour and biscuit companies to decrease prices, government sources said.