poised to exceed paddy procurement target, Punjab to approach Centre: A practical reader guide

poised to exceed paddy procurement target, Punjab to approach Centre: A practical reader guide

With the cumulative paddy arrival crossing the 177-lakh-tonne (LT) mark on Wednesday against the central government’s procurement target of 180 LT, the Punjab government has decided to seek an increase in the target up to 200 LT. As freshly harvested paddy arrivals continue at 3-4 LT daily, the state government fears the existing target will be inadequate.

“By Thursday, a conclusion will be reached regarding how much more paddy we expect beyond the Centre’s target. “This is the first time restrictions have been imposed on the quantum of paddy arrivals. If this limit is breached, fresh permission and funds will have to be sought from the Centre,” the minister added. The state government’s concerns have been heightened by the Centre’s handling of excess paddy procurement in Haryana during the previous season. The Centre’s refusal to accept the additional quantity served as a warning to Punjab, which is now preparing to manage a potentially similar situation.

The cash credit limit (CCL) has also been allowed for only 180 LT. The state food and civil supplies department has received a CCL of ₹ 42,787 crore for paddy procurement. The state’s total non-basmati paddy production — which government agencies procure for the public distribution system — is expected to exceed 220 LT this season. Against a quota of 36 LT, that state procured 62 LT in 2025, exceeding its approved limit by 26 LT. Before the onset of the season, the Centre had fixed Punjab’s procurement target at 156 LT, equivalent to the quantity procured during the previous season. Following representations by the state government, the Centre considered the average procurement over three years and revised the target to 171 lakh tonnes. Then, after the state represented again, the target was raised to 180 LT.

The chief minister, who chaired a meeting in Chandigarh with top officials from the state food and civil supplies and agriculture departments, will take up the matter with the Union ministry of consumer affairs, food and public distribution, the state government said. “We have taken feedback from the agriculture department and concluded that the yield has increased substantially and arrivals will cross 180 LT — perhaps reaching 200 LT, more or less,” said food and civil supplies minister Lal Chand Kataruchak. Accordingly, the CM will request the Centre to increase the quota for paddy procurement from the state,” he said. “We need additional CCL for the procurement of arrivals beyond the target, which will also take a few days,” added the minister.