Telangana Readies Rs 22K-cr Plan For Paddy Purchase
Govt allocates ₹22,000 crore for MSP, bonus; 1,205 centres set up to ensure smooth procurement
Hyderabad: The state government expects a substantial jump in paddy procurement this Kharif season, targeting 80 lakh metric tonnes (LMT) compared to 54 LMT in 2024-25 and 47 LMT in 2023–24. With a bumper crop this year, procurement is projected to rise by around 48 per cent and over 70 per cent, respectively, compared to the past two Kharif marketing seasons.
Officials said the last major yield was recorded in 2021–22, when the state procured over 70 lakh MT, followed by 65 lakh MT in 2022–23. In both years, paddy was valued at just over Rs 13,000 crore. The 2023–24 season saw the lowest yield in recent years, largely attributed to the election year.
This time, Telangana has cultivated over 148 LMT of paddy across 66.8 lakh acres. Of the 80 LMT planned for procurement, 40 LMT will be fine varieties and 40 LMT coarse, with an estimated cost of about Rs 22,000 crore to support the Public Distribution System. Nearly Rs 20,000 crore will go toward MSP payments to farmers, along with a `500-per-quintal bonus for fine paddy, officials said.
The government has credited its farmer-friendly policies for this record production. At a recent review meeting, civil supplies minister N. Uttam Kumar Reddy instructed officials to draw up an action plan for coordination with the Food Corporation of India (FCI), covering godown use, wagon allotments and district-level procurement scheduling to avoid bottlenecks during peak arrivals. He said regular reviews would ensure that every grain reaching the market yard is purchased promptly. Given warehouse shortages, the minister directed officials to propose additional storage facilities, revive idle godowns and create temporary arrangements at procurement centres until FCI clearance improves.
To streamline procurement, the government has set up 1,205 procurement centres across Kamareddy, Nizamabad, Medak, Siddipet and Nalgonda districts. A special review meeting on paddy procurement is scheduled for October 16.
