Telangana Seeks Major Revision in Rice Procurement Target
The state has requested enhancement in the Rabi 2025-26 rice procurement target from the present 35 lakh metric tonnes (LMT) to 54.50 LMT of rice, equivalent to 80.09 LMT of paddy already procured by the State
Hyderabad: Seeking recognition for its record-breaking agricultural output, the Telangana government has approached the Centre for a major upward revision of its Rabi 2025-26 rice procurement target, arguing that the existing allocation fails to reflect the State's actual paddy production and procurement, forcing it to shoulder thousands of crores in additional expenditure to protect farmers' interests.
Leading a high-level delegation to New Delhi, the Minister for Irrigation and Civil Supplies N. Uttam Kumar Reddy, accompanied by Agriculture Minister Thummala Nageswara Rao, met Union Minister for Consumer Affairs, Food and Public Distribution, Pralhad Joshi and pressed for immediate approval of several key demands concerning procurement and Custom Milled Rice (CMR) delivery.
The state has requested enhancement in the Rabi 2025-26 rice procurement target from the present 35 lakh metric tonnes (LMT) to 54.50 LMT of rice, equivalent to 80.09 LMT of paddy already procured by the State.
Telangana has also sought permission to deliver the entire quantity in the form of boiled rice, arguing that Rabi paddy grown in the State is predominantly suitable for parboiled rice milling.
The request comes against the backdrop of Telangana recording the highest-ever paddy procurement in its history. During Rabi 2025-26 alone, the procurement has already touched 80.09 LMT and is expected to rise further as arrivals continue from late-harvesting districts. Combined procurement during Kharif and Rabi of KMS 2025-26 has reached a historic 152 LMT, the highest ever recorded in Telangana and the erstwhile united Andhra Pradesh.
Uttam Kumar Reddy informed the Union Minister that Telangana had originally projected procurement of around 90 LMT of paddy during the Rabi season based on production estimates.
However, the Centre fixed the procurement target at only 35 LMT of rice, equivalent to 51.47 LMT of paddy. The State has now procured nearly 29 LMT more paddy than the quantity covered under the approved target, resulting in a mismatch between ground realities and official allocations.
The delegation argued that farmers should not suffer because of lower procurement targets fixed by the Centre. Despite severe operational challenges, including heatwave conditions, shortage of hamalies, storage constraints, transportation bottlenecks, overlapping maize arrivals and unseasonal rains, the State ensured uninterrupted procurement at Minimum Support Price (MSP) and according to Fair Average Quality norms.
The Ministers' delegation also sought extension of the CMR delivery schedule. They requested an additional 60 days for completion of pending Rabi 2024-25 deliveries and a further 120-day extension for Kharif 2025-26 deliveries to facilitate seamless milling and supply to the Central pool.
The State explained that storage shortages, overlapping procurement seasons and heavy arrivals had slowed the movement of rice to the Food Corporation system.
Another important demand raised before the Union Minister was that future procurement targets, particularly for Kharif 2026-27, should be aligned with production and procurement estimates submitted by the State government. Telangana maintained that unrealistic targets adversely affect procurement operations and create avoidable hardships for farmers and the State administration.
The delegation highlighted the enormous financial burden Telangana has been carrying due to procurement beyond the targets approved by the Centre. Official figures presented to the Union Minister show that during the last three major procurement seasons, Telangana procured 69.50 LMT of paddy over and above the quantities covered under Government of India targets. This resulted in an additional MSP-related financial burden of nearly Rs 16,446 crore on the State exchequer.
The burden was heavy during Rabi 2025-26, when Telangana procured 80.09 LMT of paddy against the Centre's target equivalent of 51.47 LMT, resulting in surplus procurement of 28.62 LMT and an estimated additional financial liability of Rs 6,837 crore. Similar burdens of Rs 5,278 crore and Rs 4,331 crore were incurred during Rabi 2024-25 and Kharif 2025-26 respectively.
Telangana's remarkable growth in paddy production has been driven by expanded irrigation infrastructure, improved agricultural practices, assured power supply and sustained support to farmers. However, procurement targets have not kept pace with the State's agricultural transformation.
The Ministers' delegation urged the Central government to recognise the changed agricultural realities in the State and support its farmers by approving the enhanced procurement target, permitting boiled rice deliveries and rationalising future procurement norms.
They stressed that Telangana's procurement operations are aimed at ensuring every grain produced by farmers is purchased at MSP and that the State should not be penalised for achieving record production.
