Don’t miss the latest developments in business and finance.

Paddy rotting amid rice millers' dispute with TDC

Image
Press Trust of India Gondia (Maharashtra)
Last Updated : Jun 14 2013 | 1:20 PM IST
Paddy worth crores of rupees is rotting here as it has been lying in open due to shortage of godowns even as the the rice millers have not lifted the crop following a dispute over transportation charges with the Tribal Development Corporation (TDC).
TDC, which is the nodal food procurement agency in tribal areas, has around 2.2 lakh quintals of paddy worth about Rs 200 crore lying in open at Gondia and Bhandara districts which is rotting due to the onset of monsoon season, according to official sources.
Also, three lakh quintals of paddy is lying in Gadchiroli and Aheri region, sources said.
The millers at Gondia, Bhandara, Gadchiroli and Chandrapur districts are reluctant to lift the paddy as they are demanding a hike in CMR (Custom Milling Rice) rates and sorting out the pending transportation payment issue.
Rice millers, who are paid for transporting the crop to the godowns by the TDC, have been demanding increase in rates.
Rice Millers Association, Gondia, Secretary Ashok C Agrawal said their transportation payment of around Rs 70 crore was pending with the agencies and the government since 2009.

More From This Section

He said in neighbouring states of Chhattisgarh and Madhya Pradesh, the difference of amount for transportation was borne by the respective state governments and the millers get their money from the government.
Also, around 60 rice millers and Rice Millers Association, Gondia, have filed a petition in the Nagpur bench of Bombay High Court regarding release of pending payments and its first hearing is on June 17.
The paddy lying with the agencies is not even suitable for cattle feed, sources said.
When contacted, TDC regional manager J S Rathore admitted that at many places the procured paddy was lying in open as they do not have sufficient godowns.
"Though we have covered the paddy with tarpaulins and tied it, but because of strong breeze and water we are unable to protect it completely. We have apprised about the same to our higher ups at the headquarters and sent a proposal for the construction of 40 odd additional godowns," Rathore said.
On the pending transportation payment, he said: "We have some differences with the millers over the issue and are trying to put things in the right place.

Also Read

First Published: Jun 14 2013 | 1:20 PM IST

Next Story