Kishan Reddy slams Telangana over paddy procurement delays, cites Centre's full funding

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Kishan Reddy slams Telangana over paddy procurement delays, cites Centre's full funding

Synopsis

Union Minister Kishan Reddy has put Telangana's Congress government on the spot over paddy procurement delays — with a pointed charge: the Centre is paying every rupee of the cost, yet farmers are still forced to protest on the streets. The allegation, backed by specifics on urea subsidies, crop insurance gaps, and incomplete loan waivers, frames a broad indictment of state governance ahead of a politically charged period.

Key Takeaways

Kishan Reddy accused the Telangana Congress government of delaying paddy procurement despite the Centre bearing 100% of costs including gunny bags, transport, loans, and warehouse rentals.
Telangana is currently the highest paddy-producing state in the country, making the procurement delays more acute.
Farmers in several districts have reportedly staged street protests demanding timely procurement of harvested grain.
The Centre subsidises urea at ₹242 per 45-kg bag against an actual cost of ₹2,500 , with no price hike in several years despite rising global fertiliser prices.
Reddy also alleged non-implementation of the Fasal Bima Yojana and only partial execution of the farm loan waiver scheme , leaving hundreds of thousands of farmers as bank defaulters.

Union Minister for Coal and Mines G. Kishan Reddy on Sunday, 17 May launched a sharp attack on the Congress government in Telangana, accusing it of deliberately stalling paddy procurement despite the Centre bearing the entire financial cost of the operation. Speaking at a press conference in Hyderabad, Reddy demanded an immediate explanation from the state administration for the delays that have pushed farmers in several districts to stage street protests.

Centre Bears Full Procurement Cost, Says Reddy

Reddy was unequivocal in his assertion that the Telangana government carries zero financial burden in the paddy procurement process. 'The Central government provides every single penny required for grain procurement; consequently, not a single rupee of financial burden falls upon the State government. When the Centre bears the entire cost — covering gunny bags, transportation, credit for payments, interest on those loans, and warehouse storage rentals — the State government owes an explanation as to why it is delaying the procurement process,' he said.

He added that Telangana currently records the highest paddy production in the country, making the procurement lapses all the more inexplicable. Reddy alleged that the state is attempting to shift blame for its own negligence onto the Centre and administrative officials.

Farmers Protest, Reddy Calls for Ministerial Action

According to Reddy, farmers across several regions of Telangana have taken to the streets demanding that the government procure their harvested grain. He called the situation 'baffling' given the scale of central support on offer. The Bharatiya Janata Party (BJP) leader directed all state ministers to visit their respective districts and personally oversee procurement operations, adding pointedly that 'their role is not merely to sit in air-conditioned rooms in Hyderabad and hold press conferences.'

Cotton vs Paddy: A Tale of Two Crops

Reddy drew a pointed contrast between the Centre's handling of cotton and the state's handling of paddy. While the Centre procures cotton directly — purchasing 'every last kilogram without any issues' — it routes paddy procurement through the state government machinery. He argued that this arrangement places responsibility squarely on the Telangana administration, which he accused of displaying 'negligence' in fulfilling that role.

Other Allegations: Urea Subsidy, Crop Insurance, Loan Waiver

Reddy also highlighted the Centre's continued subsidy on urea, noting that a 45-kilogram bag is provided to farmers for just ₹242 against an actual cost of ₹2,500 per bag — a support maintained without any price hike 'for several years,' even as global fertiliser prices have surged.

He went further, accusing the Telangana government of failing to implement the Fasal Bima Yojana (Crop Insurance Scheme) and of only partially honouring its farm loan waiver commitments. He alleged that agricultural labourers and tenant farmers have been 'deceived,' and that the government's negligence has rendered 'hundreds of thousands of farmers' bank defaulters. Reddy also criticised the Chief Minister and cabinet for focusing on political counter-attacks rather than addressing ground-level procurement failures, noting that yields have risen this season and the government should have prepared a corresponding action plan.

What Comes Next

The BJP's escalating criticism signals that paddy procurement in Telangana is set to become a sustained political flashpoint ahead of the next electoral cycle. With farmer distress visibly mounting and the state yet to respond publicly to Reddy's charges, pressure on the Congress-led government in Hyderabad is likely to intensify in the coming days.

Point of View

And the BJP has limited electoral ground to hold in the state. The more substantive charge, however, is structural: if the Centre is genuinely funding the entire procurement chain and delays persist, the accountability gap in the state machinery deserves scrutiny beyond partisan point-scoring. The Fasal Bima Yojana allegation is particularly significant — crop insurance non-implementation is a verifiable, auditable claim that the state government will need to address with data, not counter-attacks. The loan waiver shortfall, if confirmed, compounds an already fragile agrarian trust deficit for the Congress government in its early term.
NationPress
5 Aug 2026

Frequently Asked Questions

Why is Kishan Reddy criticising the Telangana government over paddy procurement?
Kishan Reddy alleges that the Telangana Congress government is unnecessarily delaying paddy procurement from farmers even though the Centre is bearing the full cost — including gunny bags, transportation, credit, interest on loans, and warehouse storage. He says farmers in several districts have been forced to stage protests demanding procurement of their harvested grain.
Who pays for paddy procurement in Telangana?
According to Reddy, the Central government funds the entire paddy procurement operation in Telangana, with the state bearing no financial burden. The Centre covers gunny bags, transport, payment credit, interest on procurement loans, and warehouse rentals, routing the process through state government machinery.
What is the difference in how the Centre handles cotton and paddy in Telangana?
The Centre procures cotton directly from Telangana farmers without routing it through the state, and reportedly does so without delays. Paddy procurement, by contrast, is channelled through the state government machinery — which Reddy alleges is where the bottleneck lies.
What other failures did Kishan Reddy allege against the Telangana government?
Reddy accused the Telangana government of failing to implement the Fasal Bima Yojana (Crop Insurance Scheme) and of only partially executing its farm loan waiver, allegedly leaving hundreds of thousands of farmers as bank defaulters. He also noted that the Centre has held urea prices at ₹242 per 45-kg bag — against an actual cost of ₹2,500 — without any hike for several years.
What did Kishan Reddy demand from Telangana's state ministers?
Reddy demanded that all state ministers travel to their respective districts and personally oversee procurement operations, rather than holding press conferences in Hyderabad. He said the government should have prepared an action plan to handle increased yields this season.
Nation Press
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