1 Jul 2025
The Central Government has procured 531.13 lakh tonnes (lt) of paddy between October 2024 and June 2025, reflecting a modest increase of 1.1% over the 525.48 lt procured during the same period last year, according to official data.
This year’s procurement exceeds the annual Public Distribution System (PDS) requirement and associated welfare schemes, intensifying pressure on the government to manage rising food grain inventories. Notably, the procurement figure includes more than 68 lt of paddy from the rabi crop, underlining the scale of government purchasing efforts.
Despite the overall increase, procurement performance varied across states. Punjab, a major contributor, saw a decline to 116.13 lt from 124.31 lt, falling short of its 124 lt target. Similarly, Haryana procured 36.17 lt, below its target of 40 lt, while Chhattisgarh registered a significant 15% drop, concluding its procurement operations by January 31.
In contrast, several eastern and southern states recorded notable growth. West Bengal’s procurement rose to 19.91 lt from 16.79 lt, while Odisha and Andhra Pradesh posted year-on-year increases of 6.4% and 20.9%, respectively. Assam, which completed its procurement by June 30, marked the official closure of kharif season procurement across all states.
The rabi paddy procurement, which commenced on April 1, targets 71.7 lt (in rice terms) for the current marketing season.
India, the world’s largest rice producer, recorded a historic high of 149.07 million tonnes (mt) of rice production in the 2024–25 crop year, with the kharif season contributing 121.85 mt of this total. This bumper harvest has further added to the government’s existing grain stocks.
As of July 1, the PDS requirement is estimated at 410 lt, and the buffer norm is set at 135 lt. However, the government is currently holding more than 321 lt of rice, in addition to a comparable volume of unmilled paddy, pushing total rice stocks significantly above national consumption needs.
The challenge now lies in efficient stock management, with food grain surplus potentially straining storage infrastructure and requiring strategic market interventions to maintain price and supply stability.