Variations of Wholesale Price of Wheat in Different States of India under COVID-19 Pandemic

Abstract

The present study investigates the impact of COVID-19 and restrictions imposed on wheat in different agricultural markets of India. The COVID-19 pandemic has had a significant impact on various sectors worldwide, including the food market. In India, the wheat crop harvest coincided with the lockdown imposed to control the spread of the virus. Monthly wholesale price data of seven states viz. Chhattisgarh, Uttar Pradesh, Madhya Pradesh, West Bengal, and Maharashtra were exercised from agricultural marketing portal of India. We compared monthly prices of April, May and June across 2019, 2020 and 2021. Linear piecewise regression was used to understand the impact COVID-19 on market whole sale price during different phases. The result revealed that wheat prices were at minimum support price in most of the states. Time series analysis showed the immediate impact of lockdown on decreased monthly wholesale price in all the states. Price risk was calculated using Cuddy Della Valle instability index (CDVI). Maharashtra showed the highest average monthly whole sale price and maximum price risk. The findings suggest that the agricultural markets have demonstrated a significant level of resilience in coping with the adverse effects of the COVID-19 pandemic. This is attributed to the provision of adequate policy support that has helped to mitigate the impact of the pandemic on the sector. © 2024, Society of Statistics, Computer and Applications. All rights reserved.