Despite expectations of a bumper crop, India is readying to import up to 5 million tonnes of wheat this year to maintain its buffer stock as well as to feed the weaker sections through targeted public distribution system and other welfare schemes.

The Committee of Secretaries has asked the Department of Food and Public Distribution to “prepare a plan for import of 4-5 million tonne of wheat for 2007-8”. It said that the “market survey and identification of suppliers should be done expeditiously so that wheat is imported at the lowest international prices and at short notice as required”.

However, this year, the attempt would be to avail the advantages of lower prices of US wheat for which the department has been asked to sort out the issue of certification with the US government.

On Monday, the State Trading Corp kicked off imports for the second year in a row, issuing a tender to buy one million tones from overseas.

Earlier that day, Minister of State for Food Akhilesh Prasad Singh told Parliament that STC would import one million tonne in suitable tranches by July 2007 since there could be “no compromise on food security”.

India expects to produce 73.7 million tonne of wheat in 2007, up from 69.4 million last year. But despite the large output, procurement by government agencies have been low as farmers are withholding stocks in the hope of getting higher prices. Procurement, until last week, was estimated at 7.4 million tonne against a target of 15 million tonne.