diff --git a/erpnext/stock/doctype/material_request/material_request.py b/erpnext/stock/doctype/material_request/material_request.py
index 7d160b24e2d..cc993325fb1 100644
--- a/erpnext/stock/doctype/material_request/material_request.py
+++ b/erpnext/stock/doctype/material_request/material_request.py
@@ -706,6 +706,9 @@ def make_stock_entry(source_name, target_doc=None):
 		target.purpose = source.material_request_type
 		target.from_warehouse = source.set_from_warehouse
 		target.to_warehouse = source.set_warehouse
+		if source.material_request_type == "Material Issue":
+			target.from_warehouse = source.set_warehouse
+			target.to_warehouse = None
 
 		if source.job_card:
 			target.purpose = "Material Transfer for Manufacture"