SF Prep Notes

Centre tightens wheat stock limits till 31 March 2026; traders' limit cut to 2,000 tonnes

The Centre on 26 August 2025 revised wheat stock limits applicable until 31 March 2026, cutting the limit for traders and wholesalers from 3,000 to 2,000 tonnes to moderate prices before the festive season.

Summary

The Department of Food and Public Distribution announced on 26 August 2025 revised wheat stock limits applicable until 31 March 2026 to moderate prices before the festive season and prevent hoarding. The limit for traders and wholesalers was cut from 3,000 tonnes to 2,000 tonnes, for retailers from 10 to 8 tonnes per outlet, and for processors from 70% to 60% of monthly installed capacity multiplied by the remaining months of FY 2025-26. Entities must declare stocks every Friday on the wheat stock portal, and violations attract action under Sections 6 and 7 of the Essential Commodities Act, 1955. Wheat production in crop year 2024-25 was 1175.07 lakh tonnes and the Centre procured 300.35 lakh tonnes in RMS 2025-26.

Key facts

Announced
26 Aug 2025, Dept of Food & Public Distribution
Valid till
31 Mar 2026
Traders/wholesalers
3,000 MT → 2,000 MT
Retailers
10 MT → 8 MT per outlet
Processors
70% → 60% of monthly installed capacity × remaining months of FY26
Compliance
Weekly (Friday) declaration on wheat stock portal; Essential Commodities Act, 1955 Sec 6 & 7
Wheat output 2024-25
1175.07 lakh tonnes
Procurement RMS 2025-26
300.35 lakh tonnes

Practice MCQs 2 questions

Q1 Advanced

Under the revised wheat stock limits announced on 26 August 2025, the limit for traders/wholesalers has been reduced to:

Show answer

Correct answer: A — 2,000 MT

The limit for traders/wholesalers was cut from 3,000 MT to 2,000 MT, applicable until 31 March 2026.

Q2 Advanced

Wheat stockists violating the revised stock limits (August 2025) face punitive action under which law?

Show answer

Correct answer: D — Essential Commodities Act, 1955

Violators are subject to punitive action under Sections 6 and 7 of the Essential Commodities Act, 1955.

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