MUMBAI, INDIA — With wheat prices soaring in India, government officials said steps could be taken to cool prices, including the release of state reserves into the open market and stopping the 40% tax on imports, Reuters reported.

Wheat prices have climbed to record highs in the nation. India banned exports in May due to a sudden drop in wheat yields.

Demand is strong but supplies are dwindling, one wheat trader said.

State stocks could be offered for bulk consumers such as flour and biscuit makers in order to reduce prices, government sources told Reuters.

Traders said New Delhi could not release massive stocks owing to low inventories.

At the start of October wheat stocks in state warehouses were 22.7 million tonnes, down from 46.9 million tonnes a year earlier.

The government could also drop the 40% wheat import tax, the sources said.