Ending days of suspense over the fate of paddy cultivated in the State in the current rabi and refusal of Centre to purchase rice turned out of the huge stocks at mills, the State government on Tuesday decided to buy the entire quantity itself at the minimum support price (MSP) of ₹1,960 a quintal for Grade A and ₹1,940 a quintal for common varieties.
The decision was taken at the Cabinet meeting presided by Chief Minister K. Chandrasekhar Rao a day after he lambasted the Centre at a dharna in New Delhi for its indifference towards the plight of farmers over the uncertainty on disposal of produce.
Mr. Rao, meanwhile, appealed to farmers not to resort to distress sale but wait for three or four days for the opening of centres in villages to make the purchases which may entail the government an expenditure of ₹ 3,000 to 4,000 crore. A committee headed by the Chief Secretary and comprising secretaries of finance, agriculture and irrigation will study how to deal with the paddy at government end after it was received from farmers. However, the Collectors will start the process from Wednesday by holding video conferences to gear up the administration to start procurement centres.