Not only the farmers are angry over the purchase of rice, but the rice middlemen and millers have also started a protest. There is a reason for everyone’s resentment and anger. Farmers are on the streets of Punjab due to slow government procurement. The markets are full of rice, but it is not bought because the government does not have space to store it. The epicenter of this struggle remains Punjab, where the maximum purchase of rice has so far been made for the central pool, that is, for reserve stocks. Therefore, there is a war of words in Punjab between the party and the opposition regarding rice procurement. On the other hand, the central government also has to give clarifications. After all, the stir in Punjab over rice procurement is simply being fueled by politics, or is there some truth to it? Let’s check this.
Maximum quantity of rice has always been obtained in Punjab. This time he also achieved the highest purchase target. So far, an amount of Rs 10,628 crore has been transferred to the bank accounts of farmers here as MSP for rice. Despite this, why is the Punjab government in the dock and the central government also has to give clarifications time and again? If we look in the mirror of data, the picture will become very clear.
How many purchases have been made so far?
According to officials of the Ministry of Consumer Affairs, Food and Public Distribution, procurement of 92.46 lakh metric tonnes has been completed in the country till October 29. However, during the Kharif marketing season 2024-2025, the Center has set a target of purchasing 724.02 lakh metric tonnes of rice. In which the maximum target of purchasing 185 lakh metric tonnes has been allocated only to Punjab. Punjab purchased 49.84 lakh metric tonnes till the evening of October 29. According to the law, the largest amount of rice in the country is purchased here. However, this is only 27 percent of the goal achieved by the State.
Farmers allege that due to lower public procurement this year, they are forced to sell to traders at throwaway prices. Therefore, they are incurring losses. That is why farmers in Punjab are creating a ruckus over the slow pace of rice procurement. Farmers accuse the state government of being negligent in purchasing rice. That is why many farmer unions have opened a front against the Aam Aadmi Party government. On the other hand, Punjab’s younger brother Haryana purchased 37.23 lakh metric tonnes of rice, which is about 62 per cent of its target.
Center clarification on Punjab issue
The Ministry of Consumer Affairs, Food and Public Distribution has given clarifications on the issue of rice procurement in Punjab. In which it has been said that procurement of paddy has been started in the state from October 1, 2024. For this, 2,927 markets, including 1,000 temporary yards, have been opened across Punjab. Apart from this, 4,145 millers have applied for rice milling. The state is moving towards achieving its target of purchasing 185 lakh metric tonnes of rice by the end of November.
How many farmers benefit in Punjab?
According to the ministry, 2,61,369 farmers from Punjab have so far sold rice at MSP. In return, he received an amount of Rs 10,627.63 million. While 51,20,405 farmers in the country have registered to sell rice. So far, an amount of Rs 17,158 crore has been transferred to the bank accounts of 4,43,203 farmers in the country as MSP. On the other hand, Rs 5,480.32 crore has so far been transferred to the bank accounts of Haryana farmers who sold rice to the government.
Now let’s talk about rice middlemen and millers. Agents are an important part of the market system. They do the work of buying rice, cleaning it, putting it in bags and sewing it until it is raised. In exchange, the government gives a commission. Its commission is set at 2.5 per cent on MSP. The commission agents allege that the government is not giving the full commission. On the other hand, the Haryana government has said that until any order is received from the Government of India, the state government itself has taken notice and has fixed the commission at Rs 55 instead of Rs 46 per quintal.
What is the commission of commission agents?
Haryana State Board of Trade provincial president Bajrang Garg said the commission of commission agents is fixed at 2.5 per cent over the MSP. But the government set aside this rule and fixed the commission at just Rs 46 per quintal. While at a rate of 2.5 per cent, a commission of Rs 58 is charged for rice worth Rs 2,320 per quintal. Now the state government is talking about giving only Rs 55 till the request comes from the Centre. These are atrocities against middlemen.
What is the problem of rice millers?
The government definitely buys rice, but does not store it. Rice is stored. After the rice is purchased, it is sent to rice mills for grinding. The mills have to hand over the prepared rice to the Food Corporation of India (FCI). The rice yield rate (OTR) of paddy rice, that is, the rice recovery standard of paddy rice, is fixed. Their average is 67 percent. While it is now questioned that the PR-126 rice variety is giving 4 to 5 percent less OTR than normal. Some millers say that only 62 kg of rice can be produced with one quintal of rice. In such a situation, the fixed norms should be relaxed, so that the millers do not suffer losses.
Center conducting study.
Union Minister of Consumer Affairs, Food and Public Distribution Prahlad Joshi says factory owners have requested to reduce the current 67 per cent OTR set by the FCI. In which low OTR in rice variety PR-126 has been mentioned. However, rice variety PR-126 has been used in Punjab since 2016. Such a problem has never arisen before. Hybrid varieties have also been reported to have a significantly lower OTR than PR-126. Whereas the OTR standards set by the Government of India are uniform across India. In such a situation, IIT Kharagpur has been assigned the task of conducting a study to review the current OTR of rice. Work is underway in this regard in many states, including Punjab.
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