For Prelims: Minimum Support Price, Paddy milling, Food Corporation of India, Quintal
For Mains: Agriculture: Agricultural procurement and price support; Economy: Food storage and distribution
Source:
Dainik Bhaskar
5 facts for one-day exams
SSC, railway, police and teaching exams ask direct questions like these.
- Madhya Pradesh has a 2026-27 paddy procurement target of 46 lakh metric tonnes.
- An estimated 56 lakh metric tonnes of paddy may arrive at procurement centres.
- Warehouses hold 23 lakh metric tonnes of paddy from 2025-26.
- Paddy procurement is planned at 1,436 centres across 32 districts.
- Madhya Pradesh pays a milling incentive of ₹50 per quintal.
The news
Madhya Pradesh is set to begin paddy procurement at the minimum support price from 1 December 2026, but 23 lakh metric tonnes of paddy bought in the 2025-26 season remain in warehouses, creating a storage crisis for the new crop. The central government has set a procurement target of 46 lakh metric tonnes for the state in 2026-27, while farmer registrations and declared acreage suggest arrivals of up to 56 lakh metric tonnes at 1,436 procurement centres across 32 districts, including 24 paddy-producing districts.
The old stock, valued at over ₹5,000 crore, has not been lifted for milling because rice millers have distanced themselves from the process, citing delays in the payment of incentives and upgradation amounts. The state government offers a milling incentive of ₹50 per quintal and an additional amount for timely delivery to Food Corporation of India warehouses. According to Anurag Verma, Managing Director of the Madhya Pradesh State Civil Supplies Corporation, only 3–4 lakh metric tonnes of the old paddy is expected to reach mills before procurement begins. For the new paddy, the corporation plans to use open storage and warehouses in neighbouring districts, though this will involve additional loading and unloading costs.
Why in the news?
The Madhya Pradesh government is about to start paddy procurement for the 2026-27 season on 1 December, but 23 lakh metric tonnes from the previous year are still stuck in warehouses because millers have not lifted the stock, raising concerns about storage space for the new target of 46 lakh metric tonnes.
Why has the old paddy not been lifted?
Of the 51.74 lakh metric tonnes of paddy procured in 2025-26, 23 lakh metric tonnes has not moved to rice mills because millers have held back from lifting it. The state provides a milling incentive of ₹50 per quintal and an extra amount for timely delivery to Food Corporation of India warehouses, but millers have faced difficulties with the timely payment of these incentives and upgradation amounts, according to officials.
What are the alternatives for storing new paddy?
The Madhya Pradesh State Civil Supplies Corporation expects that 3–4 lakh metric tonnes of old paddy will reach mills before procurement starts, but the remaining stock will still occupy space. For the new paddy, the corporation plans to use open storage and warehouses in neighbouring districts. The corporation's Managing Director Anurag Verma said the necessary preparations have been made, though the arrangement will add loading and unloading expenditure.
Paddy target and estimated arrivals
| Measure | Quantity |
|---|---|
| 2026-27 procurement target | 46 lakh metric tonnes |
| Estimated centre arrivals | 56 lakh metric tonnes |
| Old stock in warehouses | 23 lakh metric tonnes |
Madhya Pradesh connection
Matters for these Madhya Pradesh exams:MPPSC
Facts and terms for exams
- Minimum Support Price:
- A government-announced price intended to provide farmers a price assurance for specified crops.
- Paddy milling:
- The processing of harvested paddy to remove its husk and produce rice.
- Food Corporation of India:
- A public-sector body involved in food grain procurement, storage and distribution.
- Quintal:
- A unit of mass equal to 100 kilograms.
Why it matters for exams
Exams: MPPSC
Syllabus: Agriculture: Agricultural procurement and price support; Economy: Food storage and distribution
Common mistake: Examiners may swap the 46 lakh metric tonne procurement target with the 56 lakh metric tonne estimated arrival; the latter is an estimate, not the target.
Mains question
The paddy procurement system in Madhya Pradesh faces a storage crisis due to delayed milling. Examine the link between incentive payment mechanisms and the efficient turnover of food grain stocks.
Stuck? Get it in one tap
Madhya Pradesh plans to buy paddy from farmers at the minimum support price, a government-announced price for specified crops. Some paddy bought earlier is still in warehouses because it has not all been sent to rice mills. The old stock occupies space needed for the next procurement season.
- Madhya Pradesh has a 2026-27 paddy procurement target of 46 lakh metric tonnes.
- An estimated 56 lakh metric tonnes of paddy may arrive at procurement centres.
- Warehouses hold 23 lakh metric tonnes of paddy from 2025-26.
- Paddy procurement is planned at 1,436 centres across 32 districts.
- Madhya Pradesh pays a milling incentive of ₹50 per quintal.
- Agriculture: Agricultural procurement and price support
- Economy: Food storage and distribution
Related concepts: Minimum Support Price, Paddy milling, Food Corporation of India, Quintal
Practice questions
Pick an answer, then read the explanation.
- Q1Easy
Which organisation's warehouses receive milled rice for the additional timely-delivery incentive in Madhya Pradesh?
Explanation: Timely delivery after milling to Food Corporation of India warehouses attracts an additional amount. The state corporation manages procurement and storage arrangements, while rice mills process paddy.
- Q2Hard
Consider the following statements about Madhya Pradesh paddy procurement for 2026-27:
- 1.The central government set a target of 46 lakh metric tonnes.
- 2.Estimated arrivals at procurement centres are 46 lakh metric tonnes.
- 3.Procurement is planned at 1,436 centres across 32 districts.
Which of the statements given above are correct?
Explanation: Statements 1 and 3 are correct: the target is 46 lakh metric tonnes and the plan covers 1,436 centres in 32 districts. Statement 2 is incorrect because estimated arrivals are 56 lakh metric tonnes.
- Q3Medium
How much paddy from 2025-26 remained in Madhya Pradesh warehouses ahead of 2026-27 procurement?
Explanation: The old stock in warehouses was 23 lakh metric tonnes. The 46 lakh figure is the new procurement target and 56 lakh metric tonnes is the estimated arrival; 20 lakh is not the recorded stock.
- Q4Medium
Why is lifting old paddy for milling important before Madhya Pradesh's 2026-27 procurement?
Explanation: Moving old stock to mills can free storage capacity for fresh paddy. The action does not itself increase arrivals, replace procurement centres or remove the need for transport.
Frequently asked questions
1. What is Madhya Pradesh's paddy procurement target for 2026-27?
The central government has set a target of 46 lakh metric tonnes for Madhya Pradesh.
2. Why is old paddy still stored in Madhya Pradesh warehouses?
The paddy has not been fully lifted for milling, with millers facing incentive and upgradation payment issues.
3. When is Madhya Pradesh paddy procurement scheduled for 2026-27?
Procurement is scheduled from 1 December 2026 to 20 January 2027.
4. What milling incentive does Madhya Pradesh provide for paddy?
The state provides ₹50 per quintal for paddy milling, with an additional amount for timely delivery to Food Corporation of India warehouses.
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- Original13 November 2026 · Read story