To enhance the efficiency of paddy procurement in Punjab, Chief Minister Bhagwant Mann on Monday led a meeting with the state’s top officials resulting in four key resolutions aimed at addressing ongoing issues faced by the farmers in the state. Punjab Government has initiated a comprehensive strategy that includes a reduction in the processing fee for surplus paddy, new regulations to facilitate millers, and the establishment of larger district-level circles for procurement.

Additionally, the Government has ensured the disbursement of Rs 4,027 crore to the farmers, underlining its commitment to supporting the agricultural sector.

During the meeting, which also included Food and Civil Supplies Minister Lal Chand Kataruchak, it was announced that the processing fee for surplus paddy has been significantly reduced from Rs 50 to Rs 10 per ton. Furthermore, millers will no longer be charged this fee if they collect their crop the following day, providing them with considerable relief.

A crucial change permits millers’ sister partners or guarantors to operate, benefiting approximately 200 shellers that previously faced operational restrictions. Additionally, the newly established district-level circles allow millers to lift paddy from any location within the district, improving logistical efficiency and ensuring timely procurement.

As of now, Punjab’s mandis have received approximately 24 lakh metric tons of paddy, with 22.5 lakh metric tons successfully procured and 4.13 lakh metric tons lifted. This robust procurement is critical, especially as farmers have threatened to resume protests if the lifting process does not improve within four days, following a previous meeting with the Chief Minister where they expressed their grievances.

The procurement of paddy is vital for Punjab’s agricultural economy, as it constitutes one of the state’s primary crops. Farmers have recently reported challenges with the procurement process, leading to heightened tensions. In response to these concerns, the Bhartiya Kisan Union (Ekta-Ugrahan) had recently staged protests at 25 toll plazas and residences of prominent leaders, emphasizing the urgency of the situation.

In light of these developments, Chief Minister Mann reiterated the Punjab Government's commitment to safeguarding farmers’ interests. He directed the officials to expedite the lifting of paddy from mandis on a war footing, stating that any attempts to disrupt the procurement process would be met with strict action. The Chief Minister underscored the importance of farmers in contributing to the nation's food security and vowed to prevent distress sales of paddy, ensuring a fair and transparent procurement process.

The government has established 2,651 mandis across the state to facilitate smooth procurement operations, and the Reserve Bank of India has released a cumulative credit limit of Rs 41,378 crore for the Kharif Marketing Season 2024-25, ensuring that payments to farmers are made promptly. With these measures, Punjab aims to bolster its agricultural sector and maintain its crucial role in the national food supply chain.

Important Decisions

·         Processing fee for surplus paddy reduced from Rs 50 to Rs 10 per ton

·         Millers will not be charged processing fee if they collect their paddy the next day

·         Sister partners or guarantors of millers now permitted to operate, benefiting around 200 shellers

·         Procurement circles established at district level to allow millers to lift paddy from any location within district

·         Officers directed to expedite lifting of paddy from mandis on a war footing

·         Any attempts to disrupt procurement process to face severe penalties

·         Emphasis on protecting farmers’ interests, preventing distress sales in mandis

·         Rs 4,027 crore CCL cleared for payment to farmers