Minister Uttam Kumar Reddy has announced a massive ₹18,250-crore budget to procure 65 lakh tonnes of paddy this Kharif season. The government aims to ensure seamless payments and zero delays for farmers across the state.

  • Total budget of ₹18,250 crore allocated for procurement.
  • Target to purchase 65 lakh tonnes of paddy.
  • 8,283 Paddy Purchase Centres (PPCs) to be established.
  • ₹500 per quintal bonus for seven specific high-value varieties.

HYDERABAD: In a major boost to the agrarian economy, the Telangana Minister for Irrigation and Civil Supplies, N. Uttam Kumar Reddy, has directed officials to prepare for a massive ₹18,250-crore Kharif paddy procurement operation. The state is gearing up to purchase 65 lakh tonnes of paddy to support farmers during the upcoming Vanakalam season.

Production Estimates and Procurement Targets

The state government anticipates a significant harvest this season. With cultivation spanning approximately 57.7 lakh acres, the estimated paddy production is projected to exceed 119.57 lakh tonnes. To manage this output, the government has set a procurement target of 65 lakh tonnes, which includes 45 lakh tonnes of fine ('sanna') varieties and 20 lakh tonnes of common ('doddu') varieties.

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Infrastructure and Logistics Planning

To facilitate smooth operations, the government will establish 8,283 Paddy Purchase Centres (PPCs) across the state. This network includes 3,180 IKP centres, 4,372 PACS centres, and 731 other locations. Minister Reddy has mandated that all centers must be fully operational by October 1, ensuring readiness before the production arrival begins around October 15.

MSP and Strategic Bonus Scheme

The Minimum Support Price (MSP) has been fixed at ₹2,461 per quintal for Grade-A varieties and ₹2,441 per quintal for common varieties. In a strategic move to encourage high-quality farming, the Telangana government will provide an additional ₹500 per quintal bonus for seven preferred varieties: BPT-5204, RNR-15048, KNM-1638, Jaisriram, HMT-Sona, WGL-44, and KNM-7715.

Why This Matters

BozokMedia analysis shows that this large-scale financial commitment is designed to insulate farmers from market volatility. By incentivizing specific varieties through bonuses, the government is effectively aligning local agricultural production with domestic and international market demands, thereby enhancing the long-term profitability of the farming community.

The government's strategy of combining MSP with variety-specific bonuses is a sophisticated approach to upgrading the state's agricultural value chain.

Addressing logistical concerns, the Minister emphasized that transportation bottlenecks must be eliminated. He instructed officials to ensure that contractors bidding for transport have verified access to the required number of lorries to prevent any accumulation of paddy at purchase centers. Additionally, the state is working to bridge the gap in gunny bag availability, with procurement underway to meet the 16.25 crore bag requirement.

Did You Know?: The selection of bonus-eligible paddy varieties was based on extensive market studies to ensure farmers command better prices in both government and open markets.

Frequently Asked Questions

Question 1: Which paddy varieties are eligible for the ₹500 bonus?
Answer: The bonus applies to BPT-5204, RNR-15048, KNM-1638, Jaisriram, HMT-Sona, WGL-44, and KNM-7715.

Question 2: When is the paddy procurement expected to begin?
Answer: While centers will open by October 1, the actual arrival and procurement are expected to commence from October 15.