India's Wheat Prices Soar After Four-Year Export Ban Lifted

India's wheat prices have surged following the government's decision to lift a four-year ban on exports of wheat and processed products. The move, which came into effect in late August, has led to a significant increase in wholesale prices, with a rise of over 200 rupees per 100 kg.

According to the Confederation of All India Traders (CAIT), major markets in Mumbai saw wheat prices jump from 2,900 to 3,100 rupees per 100 kg within several days, representing an increase of nearly 7%. The average retail wheat price in India currently stands at 31.58 rupees/kg.

However, Indian wheat remains relatively uncompetitive on the global market, with market participants estimating that current prices are around $30/t higher than those offered by major international suppliers. Additionally, global wheat prices have recently approached a three-year high.