The Odisha cabinet headed by Chief Minister Naveen Patnaik Saturday approved the procurement of 30 lakh tonnes of rice in 2014-15, an official said.
Food Supply and Consumer Affairs Secretary Madhusudan Padhi said that normal paddy would be procured from farmers at Rs.1,360 per quintal while Grade I paddy would be procured at Rs.1,400 per quintal.
The government has also decided to have a facility to store paddy on a temporary basis. It has decided to store 10 lakh metric tonne (MT) of paddy this year in cover and plinth (CAP) storage locations under open sky.
The Odisha State Civil Supplies Corporation will manage the CAP storage locations in the state. About 100 locations will be identified in all the districts of the state, said Chief Secretary G.C. Pati.
The quantum of paddy procurement has grown from about 12 lakh MT in 2003-04 to 36.7 lakh MT in 2012-13.
However, despite an upfront investment of about Rs.6,000 crores annually, the effective control of paddy procurement has remained with the millers because all paddy is delivered to them with very little security.