DBT Bureau
Pune, 16 June 2026
India’s rice stocks in government warehouses climbed 15% year-on-year to a record 68.43 million metric tons as of June 1, while wheat inventories rose to a five-year high of 53.41 million tons. The substantial increase in grain reserves reflects strong procurement and record domestic production during the 2025/26 crop year. Abundant rice inventories are expected to support India’s export commitments despite concerns over below-normal monsoon rainfall linked to El Niño conditions. Meanwhile, higher wheat stocks provide the government with greater flexibility to release supplies into the market and curb any potential food inflation later this year.
Key Highlights
- India’s rice stocks reached a record 68.43 million tons as of June 1.
- Wheat inventories climbed to 53.41 million tons, the highest level in five years.
- Rice stocks are more than five times the government’s buffer requirement.
- Strong wheat procurement has improved the government’s ability to control prices.
- Record grain production in 2025/26 boosted inventories of both rice and wheat.
India’s grain inventories have reached exceptionally comfortable levels, with government-held rice stocks rising to a record high and wheat inventories touching their strongest level in five years. The abundant reserves are expected to strengthen food security, support exports, and provide policymakers with greater flexibility in managing domestic prices.
According to official data, rice stocks, including unmilled paddy, stood at 68.43 million metric tons as of June 1, marking a 15% increase from the previous year. The inventory level is substantially above the government’s buffer requirement of 13.5 million tons for July 1, reflecting strong production and effective procurement operations. The large stockpile comes at a time when concerns are emerging over the impact of El Niño-induced weather conditions on the upcoming monsoon season.
The strong rice inventory is particularly significant for global markets as India remains the world’s largest rice exporter, accounting for nearly 40% of global rice trade. Following the removal of its remaining rice export restrictions in March 2025, the country is well positioned to maintain export shipments even if weather-related concerns affect future production prospects.
Wheat inventories have also improved significantly. Government warehouses held 53.41 million tons of wheat as of June 1, nearly double the official buffer requirement of 27.6 million tons and the highest level recorded since 2021. Strong procurement from farmers enabled the government to acquire around 35 million tons of wheat, providing ample supplies for market interventions if needed.
The increase in inventories has been supported by record grain production during the 2025/26 crop year. Rice production reached an all-time high of 154.02 million tons, while wheat output climbed to a record 120.66 million tons, aided by favorable monsoon rainfall and expanded cultivation areas.
Record rice and wheat inventories have strengthened India’s food security position, providing ample scope for exports and market interventions while helping contain potential price volatility in the months ahead.
Source: Kedia Advisory
