He also warned stern action against Primary Agriculture Cooperative Societies (PACS), if found guilty of any irregularity.
Addressing a meeting for the review of paddy procurement in the state for the year 2017-18, the chief minister issued instructions that "under no circumstances farmers be compelled to sell their produce at low prices".
Kumar also issued instructions for speeding up procurement process and to take steps for seeking the Centre's approval for raising the moisture content limit.
The meeting was also attended by Deputy Chief Minister Sushil Kumar Modi, Minister for cooperatives Randhir Singh, Minister for food and consumer protection Madan Sahni and Chief Secretary Anjani Kumar Singh, among others.
He also said 40 PACS/Vyapar Mandals have been provided with dryer machines to deal with the problem of high moisture content. Besides, a decision has been taken to raise the limit of procurement from ryot and non-ryot farmers from 150 to 200 quintals and from 50 to 75 quintals, respectively.
It was also disclosed at the meeting that the state government has so far provided cooperative banks with Rs 600 crore and for additional requirements, these could take loans from institutions like NABARD for which the government will provide guarantee.