India to consider tax on wheat imports - paper.

India, saddled with bulging wheat stocks after a bumper crop, is set to consider slapping import tax on the grain to help halt adding to the stockpile, the Economic Times reported on Monday.

Economy

A ministerial panel, scheduled to meet this month, is likely to consider imposition of import taxes, the newspaper said.

India's wheat stocks on May 1 were 30.8 million tonnes against the target of 4.0 million tonnes.

"There is a growing demand even from some industry associations for imposition of duties on wheat import as it is available at prices lower than domestic wheat," it quoted an unnamed commerce ministry official as saying.

In 2006, India had abolished 60 percent import tax on wheat purchases by official agencies, and decided to cut the import tax for private players to 5 percent.

Source :- in.reuters.com