Paddy Procurement Challenges in Tamil Nadu's Cauvery Delta

Background and Current Scenario

A team from the Union government is evaluating paddy samples in Thanjavur to assess moisture content due to farmer concerns over crop damage. The Tamil Nadu government has requested the Union to increase the permissible moisture content for paddy from 17% to 22% due to adverse weather conditions.

Key Issues

• Increasing reliance on Tamil Nadu Civil Supplies Corporation (TNCSC) for paddy sales.
• Reluctance of private traders to purchase paddy with high moisture content during the Kuruvai season.
• Lack of sufficient Direct Purchase Centres (DPCs) and inadequate storage facilities.
• Bumper harvest with six lakh acres under cultivation against the normal four lakh acres.
• Delayed harvest due to excessive rains, contributing to higher moisture content.

Procurement and Support Systems

• The Union Ministry of Consumer Affairs oversees the decentralized procurement scheme.
• States procure, store, and distribute grains per Union policies, with the Centre covering procurement costs and monitoring quality.
• Farmers receive a Minimum Support Price (MSP), with some states offering additional incentives.

Statistics and Impact

• 10.4 lakh tonnes of paddy procured in Tamil Nadu up to October 24, involving 1,855 DPCs.
• 1.2 lakh farmers received ₹2,519 crore as MSP.
• Estimated paddy procurement for the season is nearly 24 lakh tonnes.

Political and Strategic Considerations

• The Cauvery delta, a DMK stronghold, contributes two-thirds of TNCSC's annual paddy procurement.
• The DMK is keen on ensuring smooth procurement processes to maintain its political influence.

Recommendations for Improvement

• Enhance storage infrastructure and coordination among stakeholders, including farmers and the Railways.
• Identify temporary DPC locations and materials for preserving procured paddy.
• Consider involving farmers' producer organizations in procurement, akin to cooperative societies in non-delta regions.