Paddy procurement for PDS dips by 9.2L MT

FCI's food bill likely to rise since the corporation relies on TNCSC to acquire paddy from farmers on its behalf

- B ANBUSELVAN

PADDY procurement in Tamil Nadu for the Public Distribution System (PDS) declined sharply by 9.26 lakh metric tonnes in 2023-24 and stood at 34.96 lakh MT against last year's 44.22 lakh MT.

In the delta region, covering 10 districts, procurement fell by 4.33 lakh MT, while the rest of the state saw a drop of 4.93 lakh MT.

Lower paddy procurement is expected to raise the food bill for the Food Corporation of India (FCI), which relies on the Tamil Nadu Civil Supplies Corporation (TNCSC) to acquire paddy from farmers on its behalf. FCI is required to allocate 37.5 lakh MT of rice annually to the state under the National Food Security Act and other schemes.

The procured paddy is expected to yield only 23 lakh MT to 24 lakh MT of rice, forcing FCI to purchase additional rice from other states, thereby increasing its expenses.