India Wheat price shoots up after increase in import duty.

Wheat prices have shot up within two months after rise in the import duty. The Centre had raised the import duty by 10 per cent to curb imports of wheat in May this year and the wholesale prices have gone up by up to 10 per cent in last couple of weeks. Wheat, which was selling at Rs 1,750 per quintal, has crossed Rs 1,900 per quintal mark and traders claimed that it is expected to rise further. Rise in import duty could be one reason. Southern states generally procure wheat from other countries. However, this time they have not procured from outside. Increase in import duty is the reason they placed orders with the northern states. The open sell price of wheat has also been fixed at higher rate of Rs 1,900 and more for upcoming quarters.Retail prices have also gone up accordingly in Delhi.