Global wheat prices had been rising due to geopolitical tensions, exacerbated by the Russia-Ukraine war, triggering greater demand from Bangladesh. However, only the leading companies were able to take advantage of this opportunity, due to the Indian government’s export curbs, said industry leaders.
The Roller Flour Millers’ Federation of India has said the latest move to shift wheat and wheat products from the ‘prohibited’ to ‘free’ category will allow small and medium enterprises to take their brand overseas.
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The Director General of Foreign Trade issued the notifications removing wheat and atta, maida, and rava/suji to free category with immediate effect.
India had banned wheat exports in May 2022 as severe heatwaves crimped domestic harvest at a time of robust exports, reducing domestic stocks, triggering a price rally. It opened exports partially in early 2026, allowing shipments of 5 million tonnes of wheat and 1 million tonnes of wheat products. However, global wheat prices scaled two-year highs as the escalation of war between Ukraine and Russia adversely affected exports from these two countries, considered as major global wheat exporters.
The squeeze in global wheat supply increased demand for Indian wheat from Bangladesh through the land border as the trade between the two countries isn’t allowed through seaports. Export volumes to Bangladesh have been consistently increasing since the past one month, said trade industry officials.The restricted exports were allowed on port specific and quantity specific basis. “The small and medium flour millers could not export as the conditions under the restricted exports were not favourable for them,” said Navneet Chitlangia, president, Roller Flour Millers’ Federation of India (RFMFI).
The association had requested the Centre to open wheat exports as the country has more stocks of wheat than required for its food security welfare schemes.
“The MSMEs can now take advantage of the international market and take their brands global,” said Chitlangia.
Wheat prices in the domestic market have increased from about Rs 25/kg in wholesale trade in May to about Rs 28.50/kg at present, which the industry says is normal for this period. The trade expects robust demand from Bangladesh for Indian wheat as the geopolitical uncertainties are expected to increase.