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United News of India
9 hours ago
- Business
- United News of India
Kerala yet to receive paddy procurement dues from Centre: Minister
Thiruvananthapuram, Aug 19 (UNI) Kerala Food and Civil Supplies Minister G.R. Anil has said the State has not received the Centre's share of the procurement price for paddy purchased from farmers since 2017-18, placing a heavy financial burden on the exchequer. He said the entire payment for paddy procurement was being borne by the State government and demanded that the Centre release its pending dues in full before Onam. From 2017-18 onwards, an amount of ₹1,259 crore remains unpaid, while for the 2024-25 procurement year, the Centre is liable to pay ₹1,342 crore towards the Minimum Support Price (MSP). In total, ₹2,601 crore is due from the Centre, he said. Anil explained that earlier, claims were submitted once every three months and advance payments were allowed. From 2025-26, however, this advance provision has been scrapped, and the Centre has directed states to submit claims on a monthly basis. Kerala has already submitted claims worth ₹159 crore for April–May 2025. Pointing out that procurement in Kerala is part of the Centre's Decentralized Grain Procurement Scheme, the Minister noted that while MSP is fixed and paid by the Centre, the State provides an additional incentive bonus. With both combined, farmers in Kerala receive the highest price in the country for paddy, he said. In the first crop season of 2024-25, Kerala procured 1.45 lakh metric tonnes of paddy from 57,529 farmers and disbursed ₹412.4 crore. During the second season, which concluded in July, 4.35 lakh metric tonnes were procured from 1,49,615 farmers, with ₹873 crore already paid out of the payable ₹1,232 crore. Altogether, out of the ₹1,645 crore to be disbursed this year, ₹1,285 crore has been settled, and the remaining ₹359.36 crore will be cleared before Onam, the Minister assured. For 2024-25, ₹577.5 crore was earmarked in the State budget for the incentive bonus, while ₹606 crore was allocated for 2025-26. However, these amounts had to be fully diverted to procurement payments due to the non-receipt of the Centre's share, he said. Anil also criticised the quality norms set by the Centre, including those related to Out Turn Ratio (OTR), as being unsuitable for Kerala's climatic and geographical conditions. This creates problems, especially for farmers in Kuttanad, in meeting the Food Corporation of India's Fair Average Quality (FAQ) standards. The State government, however, has been intervening to address such issues, he added. UNI DS RKM
The Hindu
a day ago
- Business
- The Hindu
Kerala accuses Centre of withholding ₹2,601-crore MSP dues owed to paddy farmers
The Kerala government has accused the Centre of deliberately denying the minimum support price (MSP) dues to paddy farmers in the State. Food and Civil Supplies Minister G.R. Anil, who addressed mediapersons here on Monday, said the Central government has withheld a total of ₹2,601 crore owed to Kerala's paddy farmers, including ₹1,259 crore pending since the 2017-18 fiscal year, and ₹1,342 crore for paddy procured in the 2024-25 procurement season. 'Not a single rupee has been released under the MSP category for the present season so far, despite repeated claims and follow-ups,' he pointed out. The State's paddy procurement is conducted under the Centre's Decentralised Procurement scheme, under which the responsibility for procurement lies with State-run agencies, but the financial support comes from the Centre. The MSP, which is currently fixed at ₹23 per kg, is both determined and supposed to be disbursed by the Central government. Additionally, the Kerala government provides a State Incentive Bonus of ₹5.20 per kg. However, the denial of the MSP component by the Centre has forced the State to shoulder the entire burden, according to Mr. Anil. He also highlighted the earlier practice of submitting claims for MSP reimbursement to the Centre every quarter, with provisions in place for advance payments. However, from the 2025–26 procurement season onwards, the Central government has withdrawn the provision for advance payment. Although the new policy allows for monthly claims, the Centre has not disbursed the ₹159 crore claimed for the months of April and May 2025. This denial could directly impact farmers ahead of the Onam festival, the Minister cautioned. He was also critical of the Centre's 'stringent and often impractical' quality norms regarding moisture content and out-turn ratio (OTR) which, he alleged, are not suitable for Kerala's unique climate and geographical nature, particularly in areas such as Kuttanad. As a result, farmers often face difficulty in meeting the Food Corporation of India's Fair Average Quality (FAQ) standards. Despite financial constraints, the Kerala government has managed to disburse ₹1,285 crore out of the total ₹1,645 crore owed to farmers for the 2024–25 procurement season, he said. Of this, ₹412.4 crore has been paid to 57,529 farmers during the first crop season of 2024-25, and ₹873 crore has been paid to 1,49,615 farmers for the second crop procurement, which concluded in July. The remaining ₹359.36 crore will be disbursed before Onam, Mr. Anil said.
Hans India
04-05-2025
- Business
- Hans India
Farmers assured to give MSP for jowar
Nandyal: The government has approved procurement of 30,000 tonnes of sorghum (jowar) in Nandyal district at minimum support price (MSP), Joint Collector C Vishnu Charan announced. He chaired a review meeting with officials concerned on sorghum procurement at the Collectorate on Saturday. The Joint Collector stated that out of the sanctioned 30,000 tonnes, only 5,000 metric tonnes have been procured so far, adding that there is still scope to procure additional 25,000 tonnes. He instructed the officials to inform farmers that sorghum should be brought for unloading only after scheduling through agricultural staff at Rythu Seva Kendras (RSKs). Sorghum brought without prior scheduling will not be procured, he cautioned. Vishnu Charan emphasised that every farmer must bring essential documents - Aadhaar card, bank passbook, and land passbook - while coming for procurement. These documents should be submitted to the designated agency to facilitate generation of an online truck sheet, he directed. He advised farmers not to bring their produce to the procurement godowns and wait unnecessarily for two to three days. He reassured farmers that there is no need for apprehension, and clarified that all sorghum meeting FAQ (Fair Average Quality) standards will be procured without fail.
