CHANDIGARH: Punjab is the highest contributor of rice in the Central pool. However, some 4,500 rice mills in the state have stopped functioning, bringing to a halt the procurement of paddy for the Central pool and consumer states.
The Food Corporation of India has pressed the panic button asking the state government to sort out the issue as it could cause disruption in paddy supply under the National Food Security Act (NFSA) and Pradhan Mantri Garib Kalyan Yojana (PMGKY).
A section of Punjab Food and Civil Supplies Department staff has been on an indefinite strike for almost a week following the arrest of two district food and supplies controllers in the Rs 2,000-crore food grain transportation scam. The strike has affected around 30,000 artiyas (commission agents) and one lakh labourers and has delayed payment to at least 20% of farmers
With only a day left for procurement, as much as 23,000 lakh metric tonne (LMT) paddy is yet to be procured. This year 1.82 LMT of paddy has been procured and after milling, 1.21 LMT rice will be available, which is 25% of the total procurement of rice in the country (between 450 and 500 LMT per year).
Talking with this newspaper, Ravinder Singh Cheema, president of Punjab Artiya Association, said the strike has delayed payment to about one lakh labourers, which is about Rs 500 crore. Commission payment to 30,000 artiyas, which is in the range of Rs 1,000 crore, is pending. At least Rs 25,000 transport vehicles too have stopped, thus another Rs 700 crore dues are yet to be cleared.
“Paddy milling has completely stopped in 4,500 rice mills in the state. If it is not resumed at the earliest, the losses will mount further. As the winter sets in, paddy would not be milled due to the moisture content. This has to be accounted for,” he said.
The FCI has taken up the matter with the Punjab government. “As you are aware that Punjab is the highest contributor of rice and wheat in the Central pool and non-loading of food grains due to the strike will adversely affect the timely availability of sufficient food grain in the consuming regions. It may lead to disruption of supply under NFSA and PMGYA.”
The strike may also delay acceptance of custom-milled rice (CMR) by FCI and payment of the state government, the letter added. It said the strike could affect squaring up the cash credit limit account of last year’s rabi (wheat) marketing season in Punjab.
STATS OF AFFAIRS
4,500 rice mills have stopped paddy milling
23,000 lakh metric tonne (LMT) paddy is yet to be procured
Punjab Food and Civil Supplies Department staff has been on an indefinite strike
30,000 artiyas (commission agents) affected by strike
20% of farmers yet to get payments
beneficiaries of subsidy may be hit
Around 16 lakh beneficiaries in Punjab under the National Food Safety Act won’t be able to get subsidised wheat. Reason: the Centre is imposing a cut on the total wheat allocated to the state for the third quarter of the ongoing financial year. The Centre has allocated 2.12 lakh metric tonnes (LMT) of wheat for the period between October and December against 2.36 lakh LMT which is required to be distributed to 1.57 crore beneficiaries in the state.