Govt procures over 800k tonnes paddy at MSP in last 9 days, pays Rs 1511 cr

The Centre on Monday said procurement of kharif paddy has been going on smoothly and over 8 lakh tonnes has been purchased at minimum support price (MSP) by paying Rs 1,511.13 crore to farmers in last nine days.

Pulses and cotton are also being procured at MSP as per the existing schemes, it said.

Procurement of paddy, the main kharif crop, began from September 26 in Punjab and Haryana, while it started on September 28 in other states.

Releasing the latest procurement data, the Union Food Ministry said paddy procurement for 2020-21 kharif season is going on smoothly across the procuring states.

"As on October 4, cumulative procurement of paddy in 2020-21 kharif marketing season is 8,00,389 tonnes," it said.

Paddy has been procured from 62,518 farmers at MSP value of Rs 1,511.13 crore, it added.

For the current year, the centre has fixed MSP of paddy (common grade) at Rs 1,868 per quintal, while that of A grade variety has been fixed at Rs 1,888 per quintal.

Besides, the government, through nodal agencies, is buying pulses and oilseeds at MSP under the Price Support Scheme (PSS), which gets operationalised when market rates fall below the support price.

Till October 4, about 103.40 tonnes of moong at MSP value of Rs 74 lakh has been procured from 85 farmers in Haryana and Tamil Nadu

Similarly, 5,089 tonnes of copra at MSP value of Rs 52.40 crore has been procured from 3,961 farmers in Karnataka and Tamil Nadu.

In respect of milling and ball copra as well as urad, rates are ruling above MSP. Respective states are making arrangements for commencement of procurement in respect of moong, the ministry said.

The Centre has given nod for procurement of 28.40 lakh tonnes of kharif pulses and oilseeds this year under PSS in Tamil Nadu, Karnataka, Maharashtra, Telangana, Gujarat and Haryana as well as 1.23 tonnes of copra in Andhra Pradesh, Karnataka, Tamil Nadu and Kerala.

Approval for other states will be given on receipt of proposals for procurement as per PSS norms, the ministry added.

According to the ministry, procurement of cotton seeds (Kapas) has also started from October 1.

The state-run Cotton Corporation of India (CCI) has procured 147 bales of cotton at MSP value of Rs 40.80 lakhs from 29 farmers in Haryana till October 4.

Unlike earlier, the government is releasing the daily procurement data to send a message to farmers protesting against new farm laws that it has no intention of scrapping procurement at MSP.

Farmers in Punjab and Haryana and several other states are protesting against the new farm laws, which they feel will lead to procurement in the hands of corporates and the end of MSP regime.