Centre denies Telangana’s request for KMS deadline extension, leading to Rs 840 cr loss for the state

The Telangana government is facing a potential loss of Rs 840 crore after the Central government refused to extend the deadline for submitting custom-milled rice (CMR) for the Kharif marketing season (KMS) 2021-22. Despite compensating farmers for the paddy acquired during procurement, 2.16 lakh metric tonnes of rice are still with millers. The state’s Civil Supplies department requested an extension in the milling period, but the Deputy Secretary of the Department of Food and Public Distribution declined, citing previous extensions. However, Civil Supplies Commissioner V Anil Kumar argued that the pending CMR could be used to provide subsidised rice to public distribution system beneficiaries. The Telangana government plans to take action against defaulting rice millers and impose a 25% penalty while collecting the CMR from them.