Advertisement
The Uttar Pradesh government has decided to offer a 1% recovery rebate on non-hybrid (coarse) paddy, matching the relaxation already available for hybrid paddy. The initiative is expected to benefit around 15 lakh farmers and will lead to an additional financial burden of nearly INR 166 crore on the state's budget. Officials said the decision will help farmers secure better market prices, improve employment opportunities in the rice milling sector, and provide added stability to the state's paddy production and procurement system.
The Uttar Pradesh government has approved a 1% recovery rebate on non-hybrid or coarse paddy, extending a benefit that was previously available only for hybrid paddy. The new rebate is expected to positively impact nearly 15 lakh paddy farmers across the state and add an estimated INR 166 crore to the state's expenditure. Advertisement
State Finance Minister Suresh Kumar Khanna said that under central government norms, the standard rice recovery rate from hybrid paddy is 67%. The state government, however, already provides a 3% rebate on hybrid paddy recovery, which costs about INR 100 crore annually. This rebate helps balance the difference between the actual recovery rate at mills and the rate fixed by the Centre, ensuring that farmers and millers are not at a disadvantage.
Khanna explained that the same benefit will now be extended to non-hybrid paddy, offering a 1% rebate on recovery. He stated that the measure is aimed at supporting farmers engaged in cultivating coarse varieties, many of whom are small and marginal growers. The rebate is expected to improve their returns and strengthen the local rice milling network by reducing losses linked to recovery rates.
The minister mentioned that the policy would not only help farmers receive better prices in mandis but also provide direct and indirect employment to about two lakh people. It is likely to benefit labourers and mill operators involved in milling, processing, and transport activities. The government expects that extending this rebate will create a more balanced and inclusive growth pattern in the state's paddy sector.
Currently, paddy procurement is underway across Uttar Pradesh. Procurement began earlier this month in the eastern districts after starting in western parts at the beginning of October. The government's decision to include non-hybrid paddy in the rebate structure comes at a time when paddy arrivals are picking up across mandis, and the move is expected to ease procurement challenges for both farmers and millers.
Officials believe the rebate will help maintain the pace of procurement, improve milling efficiency, and strengthen the overall agricultural supply chain, contributing to better coordination between farmers and rice mills during the ongoing season.
Source PTI
5th Jun, 2025
25th May, 2023
11th May, 2023
27th Apr, 2023
Advertisement
Facebook
Whatsapp
