Wheat prices in India have surged dramatically over the past month, adding to the financial strain on consumers already grappling with higher costs for rice, pulses, cooking oil, and jowar. Retail prices have climbed from Rs 40-42 per kg to Rs 52-55 per kg, while wholesale rates have jumped from Rs 4,000-4,200 to Rs 5,200-5,500 per quintal. This sharp increase is expected to raise the prices of wheat-based products like flour and rava.
Traders point to lower wheat yields due to insufficient rainfall as the primary cause of the price hike. “Wheat prices were lower a month ago, but they have suddenly increased. When market prices rise, we have no option but to sell at higher rates to consumers,” explained Srinivas, a trader.
Flour mill owners are also struggling with rising procurement and transportation costs. Wheat that previously cost Rs 33-35 per kg during bulk purchases now costs Rs 40-42 per kg, significantly increasing production expenses. Mill operators are caught in a difficult position, balancing the need to cover costs with the fear of losing customers if they raise prices.
“After adding transportation and packaging costs, selling flour at the existing rates is becoming difficult. If we increase prices, we are worried that customers may cut down on purchases. If we do not, we end up making losses,” said Mohan, a flour mill owner. With no immediate relief in sight, both consumers and millers are preparing for continued financial pressure as wheat prices remain high.