NEW DELHI (Reuters) – Wheat shares in India’s authorities warehouses will fall by about 13% by early subsequent month from present ranges however might be adequate for welfare schemes of the nation, the ministry of client affairs and meals stated on Thursday.

Wheat shares in authorities warehouses for December fell to the bottom in six years, as costs jumped to a document excessive on rising demand and falling inventories. India, the world’s second-biggest wheat producer, positioned a ban on its exports in May.

About 15.9 million tonnes of wheat might be accessible as of Jan. 1, increased than the buffer requirement of 13.8 million, in accordance with a authorities assertion. Around 18.2 million tonnes can be found as of now.

The authorities stated there had been a “fair increase in the sowing of wheat crop as compared to last year”, which ought to increase shares within the subsequent procurement season starting April.

“Government of India has ensured that sufficient stock of food grains are available in the central pool to meet the requirement of all the welfare schemes across the country and prices remain under control,” the assertion stated.

The assertion comes as wheat costs within the nation have seen a surge because of a drop in yields. The authorities has blamed this on decrease manufacturing final season and the truth that farmers bought the crop on the open market at costs increased than state-guaranteed costs.

Wheat reserves in state shops fell to 19 million tonnes on Dec. 1 from 37.85 million tonnes a yr in the past, authorities information confirmed. The final time shares for December had been this low was in 2016, when droughts within the earlier two years had hit wheat output.

(Reporting by Sakshi Dayal; Editing by Krishna N. Das)