Punjab paddy procurement 2025-26: 180 lakh MT target, ₹2,461 per quintal MSP

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Punjab paddy procurement 2025-26: 180 lakh MT target, ₹2,461 per quintal MSP

Synopsis

Punjab has kicked off its paddy procurement season with a 180-lakh-MT target and an MSP of ₹2,461 per quintal — and this time, a ₹42,786 crore Centre-approved credit line is already in place to ensure farmers get paid on time. For a state that feeds much of India's central grain pool, how smoothly this season runs will matter far beyond Punjab's borders.

Key Takeaways

Punjab Food Minister Lal Chand Kataruchak inaugurated paddy procurement on 1 October at the Batala grain market .
The state has set a procurement target of 180 lakh metric tons of paddy this season.
Farmers will be paid at the MSP of ₹2,461 per quintal .
The Centre has approved a Cash Credit Limit of ₹42,786.68 crore for October to facilitate timely farmer payments.
1,887 marking yards have been notified statewide; more will be added as needed.
Farmers have been advised to bring dried, moisture-free produce to avoid procurement delays.

Punjab Food and Civil Supplies Minister Lal Chand Kataruchak on Wednesday, 1 October formally launched the state's kharif paddy procurement season at the Batala grain market in Gurdaspur district, setting the government's sights on procuring 180 lakh metric tons of paddy at a minimum support price of ₹2,461 per quintal. The inauguration, which also saw Kataruchak personally initiate purchases from farmer Gurpreet Singh of Dulat village and farmer Prabhjot Kaur, marks the tenth consecutive season of government-led procurement under the Aam Aadmi Party (AAP) administration.

Centre Clears ₹42,786 Crore Credit Line for Punjab

A significant financial boost preceded the season's launch. The Centre approved a Cash Credit Limit (CCL) of ₹42,786.68 crore for October, providing the state with the liquidity needed to settle payments to farmers without delays. Kataruchak said the CCL approval would ensure immediate and smooth payment to farmers for every quintal procured by government agencies. This kind of upfront credit line is critical in a high-volume procurement state like Punjab, where payment backlogs in past seasons have been a recurring point of farmer grievance.

Infrastructure and Logistics in Place

According to the minister, 1,887 marking yards have already been notified across the state, with more to be made operational based on ground-level demand. The Food, Civil Supplies and Consumer Affairs Department has also secured the requisite gunny bags for packing the incoming produce. Drinking water arrangements for labourers engaged in unloading and packing operations have been put in place at mandis statewide, officials confirmed.

What Kataruchak Told Farmers and Arhtiyas

After the inauguration, Kataruchak met with commission agents (arhtiyas) and farmers at the Batala mandi, assuring both groups that they would not face difficulties during the procurement window. He also appealed to farmers to bring dried, moisture-free produce to the mandis to avoid rejection or delays at procurement points — a practical advisory that procurement agencies issue every season to minimise disputes over grain quality.

Context: Punjab's Role in National Food Security

Punjab consistently ranks among India's top contributors to the central pool of foodgrains. A target of 180 lakh metric tons of paddy underlines the state's outsized role in national food security operations managed by the Food Corporation of India (FCI). Chief Minister Bhagwant Singh Mann's government has emphasised that every grain of the farmers' crop will be procured — a commitment that carries political weight in a state where agrarian sentiment drives electoral outcomes. Kataruchak held a follow-up meeting with procurement agencies on Wednesday, issuing operational directions to ensure the season proceeds without disruption.

Point of View

786 crore CCL approval is notable: in past seasons, delayed credit lines caused payment backlogs that fuelled farmer anger regardless of which party was in power. What mainstream coverage often misses is the downstream pressure on FCI storage capacity — 180 lakh MT is a massive inflow, and how the grain moves out of mandis into storage will determine whether the season is genuinely smooth or just smooth at inauguration.
NationPress
1 Oct 2026

Frequently Asked Questions

What is Punjab's paddy procurement target for the 2025-26 kharif season?
Punjab has set a target of procuring 180 lakh metric tons of paddy in the 2025-26 kharif season. The procurement was formally inaugurated on 1 October at the Batala grain market by Food and Civil Supplies Minister Lal Chand Kataruchak.
What is the MSP for paddy in Punjab this season?
The government will procure paddy at a minimum support price (MSP) of ₹2,461 per quintal this season. Farmers are advised to bring dried produce to mandis to ensure smooth procurement and avoid quality-related disputes.
What is the Cash Credit Limit approved by the Centre for Punjab's paddy season?
The Centre has approved a Cash Credit Limit (CCL) of ₹42,786.68 crore for October to finance Punjab's paddy procurement operations. The CCL ensures that procurement agencies have sufficient liquidity to make immediate payments to farmers.
How many procurement yards have been set up across Punjab?
As of 1 October, 1,887 marking yards have been notified across the state for paddy procurement. Officials have said additional yards will be made operational based on the volume of arrivals.
Which government is overseeing procurement, and for how long has it done so?
The Aam Aadmi Party (AAP) government led by Chief Minister Bhagwant Singh Mann is overseeing procurement. This is the tenth consecutive season of government-led paddy procurement under the current and preceding AAP administration, according to Minister Kataruchak.
Nation Press
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