Odisha urges Centre for early release of subsidy for paddy procurement

The Odisha government onTuesday urged the Centre for the early release of the pendingsubsidy for smooth conduct of paddy procurement process duringthe on-going Kharif marketing season in the state.

Odisha's Food Supplies and Consumer Welfare Minister,RP Swain in a letter to the Union Consumer Affairs, Food andPublic Distribution Minister, Piyush Goel on Tuesday said thatthe paddy procurement process may be severely affected unlessthe Centre releases the subsidy amount in an early date.

The Odisha State Civil Supplies Corporation (OSCSC)undertakes the paddy procurement in the state, the ministersaid, adding that the state public sector undertaking has sofar borrowed a staggering sum of Rs 15,000 crore to run theprogramme due to non-release of subsidy by the UnionDepartment of Food and Public Distribution.

The minister said that an amount of Rs 6,039 croresubsidy is pending which pushed the OSCSC in trouble andcaused difficulty in procuring the paddy from farmers.

''Since all resources including the sanctioned limit ofbank finances have been exhausted by OSCSC, the pendingsubsidy may be released urgently as further paddy procurementfrom farmers will be severely affected'', Swain said in theletter.

He also said that the Food Corporation of India (FCI)has asked the state government to limit the delivery ofsurplus parboiled rice of Odisha to the extent of 50 per centof the last year delivery and not to accept any surplus in theform of parboiled rice during the Rabi season of the currentKharif Marketing Season (KMS) 2020-21.

''Odisha is primarily a parboiled rice consuming statewhich is consumed in 24 out of 30 districts. As most of therice mills in the state are parboiled mill, asking the stateto deliver surplus rice in the form of raw rice in Rabi and tolimit procurement of parboiled rice in the Kharif to theextent of 50 per cent of last year FCI delivery will havefar-reaching adverse consequences for the state,'' Swain said.

He also requested the Union minister for his urgentintervention for an early solution to the issues to ensuresmooth paddy procurement and delivery of rice in the state.

PTI AAMRG RG