Refuting the claims of the BJP State President that the Central Government pays for the paddy procurement, State Forest and Transport Minister Mohammad Akbar said that BJP State President Arun Sao has no idea about the entire system of paddy procurement, so he repeatedly makes statements that paddy is procured by the Central Government. Addressing a press conference on Monday, Minister Mohammad Akbar highlighted that the paddy procurement as the largest scheme of the Chhattisgarh State Government. He revealed that the State Government borrows an annual loan of 20 to 25 thousand crore specifically for the purchase of paddy. This loan is obtained from banks like NABARD through the Chhattisgarh State Cooperative Marketing Federation (Markfed). It’s important to note that the Central Government does not provide any assistance, grants, or loans to the Chhattisgarh government for paddy procurement. The loans acquired from banks and NABARD are guaranteed by the State Government.

 

Minister Akbar mentioned that Chhattisgarh is the only state in the country where farmers have been provided a price of Rs 2,500 per quintal for paddy since the formation of the Congress government. Additionally, he informed that under the Nyay Yojana, farmers receive Rs 9,000 per acre in four installments. In the year 2022-23, the farmers selling paddy received a payment of Rs 2,640 per quintal, which includes the amount from the Rajiv Gandhi Kisan Nyay Yojana. To improve the convenience of paddy-producing farmers, the State Government has increased the number of service cooperative societies from 1,333 to 2,058, as informed by Minister Akbar. The payment for the paddy sold by farmers is provided through cooperative societies under the state cooperative department. The registration of farmers selling paddy is done through the Chhattisgarh Integrated Farmers Portal of the State Government and not through any portal of the Central Government.

 

No central government organization is involved in issuing the payment cheques. Minister Akbar stated that the number of registered farmers selling paddy has increased from 16.96 lakh to 29.97 lakh, while the area under paddy cultivation has expanded from 24 lakh hectares to 32 lakh. In the year 2021-22, 92 lakh metric tonne of paddy were procured, followed by 107 lakh metric tonne in 2022-23. The estimated procurement for the year 2023-24 is 125 lakh metric tonnes. Notably, the State Government has decided to increase the paddy procurement from farmers to 20 quintals per acre, which was previously 15 quintals per acre. Regarding the transportation and processing of purchased paddy, Minister Akbar explained that State Government handles the transportation and sends it to rice mills for custom Top of Form milling and the rice received after custom milling is sold to the Food Corporation of India (FCI) and also deposited in the Civil Supplies Corporation. The Central Government only pays for rice which the state government deposits to FCI and the civil supplies corporation. Similarly, the principal and interest amount of the loan borrowed by State Government is also paid by State Government itself. Minister Mohammad Akbar informed that in the year 2022- 23, State Government had taken a total loan of Rs 19,209 crore including Rs 8,500 crore from NCDC, Rs 4,000 crore from NABARD, Rs 1500 crore from Indian Bank, Rs 1,110 from Punjab National Bank, Rs 2000 crore from Bank of India and Rs 2,000 crore from Bank of Baroda.