India to export 2 million tonnes of wheat

July 3rd, 2012 - 11:56 pm ICT by IANS  

New Delhi, July 3 (IANS) Faced with a shortage of storage space, the Indian government Tuesday approved export of two million tonnes of wheat at a base price of $228 per tonne, official sources said.

The decision was taken at a meeting of the Cabinet Committee on Economic Affairs (CCEA).

The sources said the export of two million tonnes of wheat would cost the government around Rs.1,263 crore in form of subsidies.

The government godowns are full and there is little space to store the grain procured by the Food Corporation of India.

This year the government is looking at a record 82 million tonnes of rice and wheat against a storage capacity of only 64 million tonnes.

In September last year, the government had allowed wheat exports through private trade.

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