KCR writes to PM on levy on rice millers
Hyderabad, March 12 (INN): Chief Minister K Chandrashekhar Rao, in a letter, requested Prime Minister Narendra Modi to reconsider the Government of India's decision that the State Governments should not impose any levy on rice from the millers with effect from 1st October, 2015.
The Chief Minister also suggested to continue to at least have the existing 25% levy with a view to safeguard the interests of the farmers to get remunerative prices for certain special varieties and at certain periods when the millers have good market outside the State or Country as the case may be.
It may be mentioned that with a view to ensure payment of remunerative prices to farmers at MSP or above and to improve outreach of procurement system to the farm gate for their better coverage, the Central Government has decided that the State Governments should not impose any levy on rice from the millers with effect from 1st October this year.
The Chief Minister mentioned in the letter that Telangana State is a paddy producing State and the practice has been that normally the millers purchase paddy from the farmers competing with each other at remunerative rates for delivering levy and utilizing the levy free rice. He also said that as long as the millers pay them the remunerative prices (over and above the MSP) they will not offer to the Government agencies at MSP. Only when they are offered less than MSP, they choose to deliver paddy at the purchase centres opened by the Government agencies. KCR wrote that Government of Telangana is strictly monitoring whether the millers are paying MSP to the farmers before they deliver rice under levy.
The Chief Minister pointed out that with the decision to remove the levy system, it is possible that the millers may not offer remunerative prices, as they normally do. The Government agencies can assure the farmers MSP only and not remunerative prices. This may cause hardship to the farmers as removal of levy will deny them of the remunerative prices.
In view of the above, KCR requested the Prime Minister to reconsider the decision and continue to at least have the existing 25% levy with a view to safeguard the interests of the farmers to get remunerative prices for certain special varieties and at certain periods when the millers have good market outside the State or Country as the case may be.
News Posted: 12 March, 2015
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