Lok Sabha Question No. 2425 (UNSTARRED), answered on 2024-08-06
Subject: Disbursal of Paddy Procurement Price
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: Shri Kodikunnil Suresh

## GOVERNMENT OF INDIA MINISTRY OF AGRICULTURE AND FARMERS WELFARE DEPARTMENT OF AGRICULTURE AND FARMERS WELFARE

## LOK SABHA

## UNSTARRED QUESTION NO. 2425 TO BE ANSWERED ON THE 6 TH  AUGUST, 2024

## DISBURSAL OF PADDY PROCUREMENT PRICE

2425.  SHRI KODIKUNNIL SURESH :

Will the Minister of AGRICULTURE AND FARMERS WELFARE क ृ िष एवं िकसान क̵  याण मंũी be pleased to state:

- (a) whether the Government is aware of issues such as delay and  non  payment  of disbursal of the paddy procurement price in the State of Kerala including kuttanad and other prime paddy producing regions in the state;
- (b) if so, whether the Union Government has allocated its share of paddy procurement price for the state of Kerala and if so, the details thereof;
- (c) whether there has been any delay in the disbursal of the share of allocation of the Government towards paddy procurement price in the said state and if so, the details for the last three years, year-wise;
- (d) the details of the share of paddy procurement price for the said State during the last three season;
- (e) whether  the  Government  is  intending  to  address  issues  in  paddy  procurement price disbursal as post-harvest credit on production of the Paddy Receipt Sheet (PRS); and
- (f) if so, the details thereof?

## ANSWER

## MINISTER OF STATE FOR  AGRICULTURE AND FARMERS WELFARE

क ृ िष एवं िकसान क̵  याण राǛ मंũी

(SHRI RAMNATH THAKUR)

- (a)  to  (c)  :  Kerala  is  a  Decentralized  Procurement  (DCP)  State  wherein  procurement operations are carried out by the State Government and its agencies. The responsibility of direct  payment  of  Minimum  Support  Price  (MSP)  to  the  farmers  rests  with  the  State Government. The expenditure (including MSP and other incidental) incurred by the State Government of Kerala on distribution of food grains to the beneficiaries of various Central Schemes is reimbursed by Government of India.

Government of India releases food subsidy based on the  quarterly food subsidy claim  submitted  by  State  Government  for  the  distribution  of  food  grains  under  various Central  Scheme,  including  Antyodaya  Anna  Yojana  (AAY),  Priority  Household  (PHH),

Wheat Based Nutrition Programme (WBNP), Pradhan Mantri Poshan Shakti Nirman- PMPOSHAN [erstwhile Mid Day Meal (MDM) Scheme] etc. The details of funds released to the State Government of Kerala towards food subsidy during last three years and current year are as under:

| Year                      |   Subsidy (Rs.in Crores) |
|---------------------------|--------------------------|
| 2021-22                   |                  1777.86 |
| 2022-23                   |                  1544.89 |
| 2023-24                   |                  1151.85 |
| 2024-25 (As on 30.06.2024 |                   366.6  |

(d):  As  per  the  information  received  from  Government  of  Kerala,  the  State  Incentive Bonus for procurement of paddy during last three seasons are as under:

| Year    |   State Incentive Bonus/kg (In Rs.) |
|---------|-------------------------------------|
| 2021-22 |                                8.6  |
| 2022-23 |                                7.8  |
| 2023-24 |                                6.37 |

(e) & (f) : As Kerala is DCP State, the responsibility of payment to the farmers is with the State Government. Necessary directions have been issued by Government of India to the State Government of Kerala for making the payment of MSP to farmers preferably within 48 Hours from the issue of procurement receipt and not more than 7 days in any case.

The State Government has informed that an amount of Rs.1577.22 crore has been disbursed to the consortium banks for payment towards farmers as Paddy Receipt Sheet (PRS) loan and the total payment made to 1,65,383 farmers is Rs.1345.72 crore.

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