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Bengal Govt doubles milling charge support for rice to 20 per quintal

  • Bengal doubles its milling charge support to Rs 20 per quintal
  • Mandi labor charges increased from Rs 12 to Rs 14 per quintal
  • MSP for paddy raised to Rs 2,300, with a Rs 20 incentive for farmers

11 Nov 2024

Bengal Govt doubles milling charge support for rice to 20 per quintal

The Bengal state government has responded to the Bengal Rice Mills Association's (BRMA) demand for higher milling charges by increasing the fee provided to millers for converting paddy into rice. Previously, millers received Rs 30 per quintal, with Rs 20 contributed by the Centre and Rs 10 by the state. Now, the state has raised its contribution to Rs 20 per quintal, effectively increasing the overall milling charge for millers and addressing a long-standing demand from the association.

The BRMA held a critical meeting with Chief Secretary Manoj Pant on Saturday, where the increase in milling charges was confirmed. This announcement follows an earlier session on October 23 at Khadya Bhavan, where the association had threatened not to renew contracts with the state Food Department for the upcoming 2024-25 Kharif season unless their demand for a milling charge hike was met. With the state agreeing to the BRMA's request, the rice millers have now renewed their contracts with the Food Department, ensuring the continued smooth procurement of rice.

Additionally, the Chief Secretary agreed to an increase in mandi labor charges, another key demand from the BRMA. The labor charges, previously set at Rs 12 per quintal, will now be Rs 14 after the state added Rs 2 per quintal. This raise is expected to support the operational needs of millers during the heavy milling season.

The state government is also considering plans to boost rice production capacity by subsidizing the establishment of new rice mills across Bengal. Currently, 575 rice mills are operational in the state, and the new subsidy would allow for further expansion to support the growing demand. Procurement for the 2024-25 Kharif season started on November 2, and millers, under a bank guarantee of Rs 35 lakh, will receive paddy valued at 2.5 times this amount.

To further support the region’s small and marginal farmers, the government has raised the Minimum Support Price (MSP) for paddy from Rs 2,183 to Rs 2,300 per quintal. The Food Department will also offer an additional incentive of Rs 20 per quintal for farmers selling paddy at designated Collection Points (CPCs), mobile CPCs, and Designated Procurement Centers (DPCs), making the total payment to farmers Rs 2,320 per quintal.

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Bengal Govt doubles milling charge support for rice
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