Hyderabad: The Telangana State government has bought 13.13 Lakh Metric Tons (LMT) of paddy worth Rs 3,045.76 crore during this year’s Kharif season. This was done through 7,532 paddy procurement centers spread across the state. Out of the total, more than 3 LMTs of superfine rice (locally called “sannarakam”) were collected from farmers, and so far, Rs 9.21 crore has been paid as a bonus to the farmers.
The State government has a flagship program aimed at supplying superfine paddy through the Public Distribution System (PDS). To encourage farmers to grow this variety, the government is offering a bonus of Rs 500 per quintal. Civil Supplies Commissioner D.S. Chauhan said during a press conference on Monday that within a week, farmers would receive nearly 90% of the bonus, which will total between Rs 20 to 25 crore. This will benefit around 2.81 lakh farmers. Chauhan added that when this superfine rice is distributed through the PDS, it will help stop the recycling of rice, which is one of the main goals of the program.
The Commissioner also mentioned that changes in the milling policy have been effective. Out of the 2,000 mills that participated in the Kharif season of 2024-25, around 1,669 mills have provided a bank guarantee and security deposit. According to Government Order 27, issued on October 29, mills that defaulted on Custom Milling Rice (CMR) in the past were not given any paddy to process. However, mills with no history of default or those that cleared all their dues, including penalties, were allowed to mill paddy after providing a bank guarantee and security deposit based on the Minimum Support Price (MSP).
Additionally, the State government has decided to store paddy in special ‘Intermediary Godowns.’ This will ensure that only well-performing mills receive paddy for processing. The Commissioner further shared that as of December 2023, the Telangana State Civil Supplies Corporation Limited (TGSCSCL) had an outstanding loan of Rs 58,623 crore. However, the loan amount has been reduced by Rs 11,608.4 crore in the last eleven months. Due to these effective measures, the financial health of the Civil Supplies Corporation has significantly improved, and the current debt stands at Rs 47,014 crore.