Farmers voice concern over payment delay as paddy procurement begins in Palakkad

Uncertainty prevailed among paddy farmers in the district over payment for their produce even as cooperative societies began procurement of paddy in select areas. Excise Minister M.B. Rajesh inaugurated the procurement drive at Kappur panchayat near Thrithala last week.

However, the government is yet to issue an order specifying the payment terms for the procured paddy. Neither the cooperative societies nor Supplyco, which is overseeing the process, has clarity on how and when farmers will be paid.

Farmers allege that the procurement initiative being piloted in Palakkad district through cooperative societies is an election gimmick. “We have reason to believe this is an election stunt. Some farmers are still waiting to receive full payment for the first crop procured from them,” said Dayanandan, a farmer from Palakkad.

Cooperative banks involved in the procurement said they would release payments once the government issues a clear order. They added that clarity is essential as the process involves crores of rupees.

Pandiyodu Prabhakaran, general secretary of the Desiya Karshaka Samrakshana Samiti (DKSS), said farmers were uncertain about who would pay them and when, for the paddy procured. “Without a proper government order, cooperative societies will not release the payment. In such a situation, the government’s assurance that farmers will be paid soon after procurement is unlikely to materialise,” he said.

Meanwhile, the district committee of the Karshaka Sangham welcomed the government’s decision to scrap the PRS (paddy receipt sheet) loan system and route the procurement through cooperative societies. The Sangham acknowledged that payments made through PRS-based loans for paddy procured from farmers had caused considerable hardship to farmers over the past several years.

Incentive hike

The Karshaka Sangham also praised the government for raising the State incentive for procured paddy to ₹6.31 a kg. At present, paddy is being procured at ₹30 a kg, which includes the Union government’s minimum support price (MSP) of ₹23.69 and a State bonus of ₹6.31.

Karshaka Sangham district secretary M.R. Murali credited Chief Minister Pinarayi Vijayan, Excise Minister M.B. Rajesh and Cooperation Minister V.N. Vasavan with rescuing farmers from the hardships caused by the PRS loan system.

However, leaders of the DKSS dismissed the claims as politically motivated. “What were they doing all this while? Did the Karshaka Sangham stage any protest when payments were delayed for months and farmers were denied bank loans because of the PRS system?” asked Mr. Prabhakaran.