NEW DELHI : The government is considering a proposal to cut or abolish import taxes on wheat, Food Secretary Sanjeev Chopra said on Friday. This comes as the world’s second-biggest producer of the staple struggles to contain price rises.

Chopra said there is no plan to import wheat from Russia or engage in a government-to-government deal.

In recent months, wheat prices in Delhi have surged by 12 per cent, reaching a six-month high of Rs 25,174 per metric ton. This price hike is attributed to erratic weather conditions that have adversely affected production. To counter this, the government imposed a limit on the amount of wheat stocks traders can hold for the first time in 15 years, aiming to drive down prices.

In June, the government imposed a limit on the amount of wheat stocks traders can hold, for the first time in 15 years, to bring down prices.

“We have options like lowering or abolishing the wheat import duty and tweaking the stock holding limits to control prices,” Chopra said. “The options are under consideration.”

However, these measures have not been sufficient to curb inflation, particularly in cereals. As a result, the government is considering additional options such as lowering or abolishing the wheat import duty and adjusting the stock holding limits. The current wheat-import tariff stands at 40%, having been raised from 30% in April 2019.