Is Tamil Nadu About to Set a New Record in Paddy Procurement?

Synopsis
Key Takeaways
- Tamil Nadu is likely to surpass its previous high of 44.95 lakh tonnes in paddy procurement.
- A total of 47 lakh tonnes is projected by the end of the current procurement year.
- The government has disbursed around Rs 10,734 crore to farmers.
- The Cauvery delta districts are key contributors to procurement.
- The state encourages the involvement of Farmer Producer Organisations to improve efficiency.
Chennai, July 30 (NationPress) Tamil Nadu is on the verge of setting a remarkable new record in paddy procurement, expected to exceed the former high of 44.95 lakh tonnes achieved during the 2020-21 season.
Official reports indicate that the state has already procured 44.49 lakh tonnes of paddy to date, and with an average daily procurement rate of approximately 15,000 tonnes, the record is anticipated to be surpassed shortly.
With just a month left in the current procurement cycle, officials estimate that the total procurement could reach 47 lakh tonnes.
The ruling DMK government previously set a target of 50 lakh tonnes for the 2021-22 season, although this goal was not met. As in prior years, the ten Cauvery delta districts have been primary contributors, accounting for nearly two-thirds of the overall procurement, with around 30 lakh tonnes.
The state government has disbursed roughly Rs 10,734 crore to farmers as a minimum support price (MSP). Central data reveals that 3.36 lakh farmers received Rs 6,899 crore during the first round of procurement (September 2024-March 2025), while an additional 1.95 lakh farmers were compensated Rs 3,835 crore subsequently.
In addition to the MSP, the state government offers an incentive of Rs 130 per quintal for Grade A paddy and Rs 105 per quintal for common types.
A detailed examination of procurement data shows many farmers continued cultivating paddy even beyond the irrigation season, including in the summer months. By the conclusion of March 2025, only 28.3 lakh tonnes had been procured, with the remaining 16 lakh tonnes acquired in the final three-and-a-half months.
The Tamil Nadu Civil Supplies Corporation (TNCSC) oversees the majority of procurement, while cooperatives and the National Cooperative Consumers’ Federation (NCCF) manage the rest.
Agricultural experts have recommended that the government engage Farmer Producer Organisations (FPOs) in the procurement process to enhance efficiency and ensure broader outreach.
As procurement figures continue to rise, Tamil Nadu is on track to achieve a significant milestone in its paddy procurement efforts this year.