Chhattisgarh: Centre, State lock horns over paddy procurement

Chhattisgarh government has set a target to procure over 85 lakh metric tonnes of paddy at Rs 2,500 per quintal from farmers during this Kharif season. While the state government has urged the Centre to procure 32 lakh metric tonnes of paddy for central pool and give bonuses to the farmers. Modi government has clearly denied it citing high procurement prices and inclusion of bonus.

Raipur:Politics in Chhattisgarh is heating up with the Congress-led government locking its horns with the Centre over the procurement of paddy in the state.

Chhattisgarh government has set a target to procure over 85 lakh metric tonnes of paddy at Rs 2,500 per quintal from farmers during this Kharif season. While the state government has urged the Centre to procure 32 lakh metric tonnes of paddy for the central pool, Modi-led NDA government at the Centre has clearly denied it citing high procurement prices and inclusion of bonus.

It is worth mentioning that till last year, the Central Government was buying a total of 24 lakh metric tonnes of Arwa and Usna rice from Chhattisgarh. This season, the state government has insisted on increasing the Minimum Support Price (MSP) of paddy and Chhattisgarh's quota in the central pool; however, Centre has clearly refused to buy any amount of rice for the central pool.

Paddy procurement fiasco

After the Centre’s denial, the administrative issue has become a political one. Fuming over the BJP-led government, the Congress Chief Minister announced ‘war’ against the Centre.

Quoting Urdu poet Sahir Ludhianvi, Bhupesh Baghel tweeted –

Which means, “we want peace, but if war is needed against tyranny then let’s there be a war”.

Further, Congress called for a massive protest march to the national capital with over 20,000 farmers and 600 vehicle convoy.

Retaliating, the BJP said since it is the Congress government that made the promise for Rs 800 additional bonus, the responsibility lies on it and not on the Centre.

On 14 November, Bhupesh Baghel met Union Agriculture and Farmers Welfare Minister Narendra Singh Tomar and Union Food Minister Ram Vilas Paswan in New Delhi and urged them to procure rice from Chhattisgarh for the central pool. Calling the meeting as a positive one, Baghel has postponed the protest against Centre.

Situation during BJP tenure in Chhattisgarh

Even during Raman Singh-led BJP government in the state, Centre was requested to provide bonus to the farmers during 2017-2018 and 2018-2019. Even then, the Centre had denied buying any amount of extra paddy or give bonuses.

However, being the election year, Centre agreed to procure 65 lakh metric tonnes of paddy with Rs 300 per quintal bonus to the farmers. This caused an additional Rs 7,000 crore burden on the State Government.

What is the main issue?

The Central Government has fixed the MSP for common variety paddy at Rs 1,815 per quintal and Rs 1,835 MSP per quintal for A-grade quality paddy. However, Bhupesh Baghel-led Chhattisgarh government has announced to buy paddy at the rate of Rs 2,500/quintal from the farmers of Chhattisgarh by adding bonus.

In 2014, the Central Government has decided that rice will not be procured from state governments that provide a bonus against paddy procurement at the support price. But despite the decision, the provision was slackened for the last two years and rice was being procured from Chhattisgarh for the central pool.

As the Centre is not willing to extend the relaxation further, the Rs 700 bonus is the major bone of contention.

On being insisted to increase purchase quota for Central pool, the Modi government said that the MSP had been fixed for all the states and norms could not be changed only for Chhattisgarh just to accommodate the higher price for procurement it was paying for the paddy.

With limited financial resources at hand, the Chhattisgarh will have to raise loans to fulfil its promise.

For now, Chhattisgarh government is hopeful that Centre will consider its demand and procure paddy from the state.