STC floats fresh global wheat import tender for 16.7 LT

The State Trading Corporation on Wednesday floated a global wheat import tender for 16.7 lakh tonne to augment buffer stock.

The state-owned trading company has already contracted 38.3 lakh tonnes of wheat through four global tenders since February when the Government had allowed the import after a gap of six years.

The decision to allow import was taken against the back drop of lower procurement in the Rabi marketing season, which stood at 92 lakh tonnes, as against the target of 164 lakh tonnes.

The tender closes on September 5.

STC has sought delivery of 16.7 lakh tonnes of imported wheat at seven ports, starting during November to February 15, 2007.

Mumbai, Kandla, New Mangalore and Mundra are the ports in western region while Vizag, Tuticorin and Chennai are the identified ports in the southern coast.

Quality specifications remain same as that of the last round.

With this fresh tender, the agency has sought a total of 55 lakh tonnes of imported wheat so far on behalf of the Food Corporation of India meant for Public Distribution System.

The Government has recently approved additional 20 lakh tonnes import, which included 3.3 lakh tonnes already contracted under the fourth global tender of four lakh tonnes.

The specified parcel size for Mundra stands at 60,000 to 75,000 tonnes, while the size for Mumbai port stands at 25,000 to 35,000 tonnes.

The parcel size for remaining ports has been fixed at 35,000-50,000 tonnes.

STC has sought the maximum quantity of 3.55 lakh tonnes at Vizag port followed by Kandla (3.5 lakh tonnes), Chennai (2.75 lakh tonne), Mundra (2.7 lakh tonnes), Tuticorin (1.95 lakh tonnes), New Mangalore (1.2 lakh tonnes) and Mumbai (1.05 lakh tonnes).

STC has reserved its rights to increase and decrease the quantity to be imported at each port, while finalising the wheat import contract.

Source: The Hindu