Kerala Allocates ₹100 Crore for Paddy Procurement

Quick Summary

• kerala’s finance Department has authorized the release of ₹100 crore for subsidies related to paddy procurement for March and April 2025.
• The funds will go to the Kerala State Civil Supplies Corporation (Supplyco) responsible for procurement.
• Earlier this year, ₹185 crore was earmarked for paddy procurement up to February.
• The State Budget 2025-26 has allocated ₹606 crore toward paddy subsidies.
• Finance Minister K.N. Balagopal stated that payments under the Paddy Receipt Sheet (PRS) scheme are being made promptly despite arrears of nearly ₹1100 crore owed by the Center on minimum support price and transportation charges.

Indian Opinion Analysis

The release of funds underscores Kerala’s commitment to supporting its farmers through direct subsidy mechanisms like the PRS system, which ensures timely payments without waiting on delays from central allocations. This proactive approach could be vital in safeguarding farmer welfare and encouraging agricultural production within a challenging fiscal scenario marked by pending arrears from the Centre amounting to ₹1100 crore.

While Kerala’s efforts highlight an efficient state-level intervention in agricultural policy, they also bring attention to broader issues regarding intergovernmental financial coordination concerning minimum support price dues-a pivotal aspect in ensuring continuity and fairness in agrarian operations nationwide.

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