Govt to sell rice for ethanol at Rs 2320/qtl, wheat to millers at Rs 2585-2600/qtl - The HinduBusinessLineSENSEX 77,502.12 0.00NIFTY 24,175.70 0.00CRUDEOIL 6,548.00+ 23.00GOLD 145,745.00+ 1,315.00SILVER 231,090.00+ 2,865.00SENSEX 77,502.12 0.00NIFTY 24,175.70 0.00NIFTY 24,175.70 0.00CRUDEOIL 6,548.00+ 23.00CRUDEOIL 6,548.00+ 23.00GOLD 145,745.00+ 1,315.00'; } document.getElementById("lgdv").innerHTML = htmlElements; } function numberformat(i) { return Number(parseFloat(i).toFixed(2)).toLocaleString('en', { minimumFractionDigits: 2 }) } async function gatherResponse(response) { const { headers } = response; const contentType = headers.get('content-type') || ''; if (contentType.includes('application/json')) { return await response.json() } return response.text(); } function getWidth() { if (Math.max(document.body.scrollWidth,document.documentElement.scrollWidth,document.body.offsetWidth,document.documentElement.offsetWidth,document.documentElement.clientWidth) > 991) { document.getElementById("mob").style.display = "none"; document.getElementById("lgdv").style.display = "block"; } else { document.getElementById("mob").style.display = "block"; document.getElementById("lgdv").style.display = "none"; } } getWidth();]]>The Centre has announced its policy on sale of rice, wheat from the official reserves for 2026-27 without earmarking how much quantity it intends to offer, which is seen as a cautious move amid the threat of a super El Nino on India’s foodgrain production. However, rice allocation for State governments and their agencies has been fixed at 48 lakh tonnes (lt).According to the Open Market Sales Scheme (OMSS) policy for 2026-27, which is valid until June 30, 2027, the rate of rice, to be offered from the stock managed by the Food Corporation of India (FCI), would include freight costs, whereas rates of wheat would exclude transport costs.The selling rate of rice has been fixed at ₹2,320/quintal until October 31 and ₹2,390/quintal from November 1 for distilleries to produce ethanol. The quantity of rice for diversion towards ethanol will be decided by the committee of ministers, headed by Home Minister Amit Shah.The same rates as for ethanol distilleries will also be applicable on sale of 48 lt of rice to State governments and their Corporations as well as for “community kitchens” without participating in e-auction, said the Order issued on July 2. However, sale of rice to States is restricted only to non-surplus States, as they require additional rice for their own schemes.Sale of rice to Central Cooperative Organisations -- NAFED/ NCCF/ Kendriya Bhandar – for retail sale under the ‘Bharat’ brand through their stores, mobile vans and e-commerce platforms as well as through big retail chains like Jio will be made at Rs 2,480/quintal until October 31 and Rs 2,550/quintal from November 1.Rates of rice for small private traders, entrepreneurs, individuals to be sold directly from the FCI depot has been fixed at Rs 2,890/quintal until October 31 and Rs 2,970/quintal from November 1.The reserve prices of rice (with 25 per cent broken grain) in e-auction for private parties and cooperatives have been fixed at Rs 2,660-2,890/quintal until October 31 and Rs 2,740-2,970/quintal from November 1. The rates vary as per rice procured from different seasons. However, the rates of older crops have been made lower from rates of new seasons, which is contrary to open market rates where old rice costs higher.As the Cabinet on July 1 approved lowering the broken grain content in rice to 10 per cent from the current 25 per cent, the government has also introduced a separate category for the improved quality rice in the 2026-27 open sale policy. Accordingly, rice with 10 per cent broken grain content will have a reserve prices of Rs 3,090/quintal until October 31 and Rs 3,180/quintal from November 1 in the e-auction for private parties.Also the government has fixed a minimum price of Rs 2,000/quintal for the broken rice (100 per cent) category which will be sold in the open market through e-auction to private parties.Distillers said there needs to be clarity as the rice for ethanol has been fixed at Rs 2,320/quintal whereas for broken rice it is Rs 2,000/quintal as the government Order also said “for the purpose of supplying rice to ethanol distilleries for production of ethanol, old/broken rice should be utilised to the extent feasible.”On the other hand, the wheat rates have been fixed at Rs 2,585/quintal for URS category and Rs 2,600/quintal for FAQ category. While rates for States and Central Cooperatives, community kitchens are at fixed rates, private millers have to buy the wheat through e-auction at those reserve prices.Published on July 3, 2026Sign into Unlock benefits!Access 10 free stories per monthAccess to comment on every storySign up/Manage to our newslettersGet notified by email for early preview to new features, discounts & offers${ ind + 1 } ${ device }Last active - ${ la }