Kerala plans to transfer paddy procurement responsibility to cooperatives

Thiruvananthapuram: The Kerala government has decided to hand over paddy procurement to cooperative societies. With this move, the state aims to introduce a farmer-centric, two-tier system that ensures quicker payments and reduces delays. Chief Minister Pinarayi Vijayan chaired a high-level meeting where the government took this decision. On Monday, the Chief Minister’s Office said timely procurement would prevent crop damage and help farmers receive payments immediately at the time of purchase.

The government will implement the new model through Primary Agricultural Cooperative Societies from the upcoming farming season.

Direct procurement to ensure faster payments

Under the new system, primary cooperative societies ready for procurement will buy paddy directly from farmers. This step will simplify the process and cut down intermediaries. The government also said the move will end dependence on Paddy Receipt Sheet-based loans and ensure immediate payment after procurement.

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Digital monitoring and cooperative participation

At the district or taluk level, the government will form nodal cooperative societies. These bodies will include cooperatives, padasekhara samithis, and farmers as stakeholders. In addition, the state will launch a digital portal to track procurement and monitor fund disbursal.

Long-term plan for ‘Kerala Rice’ brand

In the long term, cooperative branding will help stabilise prices and add value to farm produce. The initiative will also support the launch of the state’s own rice brand, ‘Kerala Rice’.

Finance Minister K N Balagopal, Cooperation Minister V N Vasavan, Food Minister G R Anil, Agriculture Minister P Prasad, Water Resources Minister K Krishnankutty, and Local Self-Government Minister M B Rajesh attended the meeting. Chief Secretary Dr A Jayathilak and senior officials were also present.

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