Hyderabad, October 29: The government has announced a comprehensive policy for the allocation of grain to rice millers, establishing strict guidelines to prevent defaults and ensure timely milling of paddy. As part of the policy, defaulter millers will not receive grain allocations, and all millers must now provide a bank guarantee or security deposit to qualify for allocations. Additionally, the government has approved an increase in milling charges, effective only if Custom Milling Rice (CMR) is delivered within the specified deadline.
Strict Bank Guarantee Requirements for Millers
Under the revised policy, millers are categorized based on their compliance history with Custom Milling Rice (CMMR) obligations. Guidelines for bank guarantees and security deposits are as follows:
- Category 1: Millers with a clean compliance history in CMMR must provide a 10% bank guarantee or a 25% security deposit based on their approved milling capacity.
- Category 2: Millers who previously defaulted but have since cleared all pending CMMR requirements, including penalties, are required to submit a 20% bank guarantee or a 25% security deposit.
- Category 3: Millers with prior defaults, who have cleared pending CMMR but failed to pay a 25% penalty, must submit a 25% bank guarantee, in addition to an extra 25% of the approved milling capacity as a guarantee.
The government emphasized that no allocations would be made to millers currently in default, even if past dues have been cleared.
Increased Milling Charges Approved with Conditions
To address millers’ requests for higher compensation, the government has approved new milling charges, raising rates from the current ₹110 to ₹200 per quintal. The revised rates include:
- ₹30 per quintal for regular paddy milling.
- ₹40 per quintal for thin paddy varieties.
However, the increased rates apply only to CMMR produced within the designated timeframe. Late submissions will not be eligible for the enhanced rates, as per the Food Corporation of India (FCI) guidelines.
AEOs Assigned to Resolve Grain Procurement Issues
To streamline the grain procurement process, Agriculture Extension Officers (AEOs) will oversee and resolve issues at grain procurement centers. Millers with concerns regarding the quality or handling of small grains are instructed to file an online complaint within 48 hours, with AEOs mandated to provide a resolution within 24 hours. Each mill will have one designated AEO, while additional district-level committees, comprising officials such as Deputy MMAROs, DAO, and DSO, will handle more complex issues.
Responsibility for Stored Grain Assigned to District Managers
Paddy procured during the monsoon season will be stored not only in milling facilities but also in warehouses managed by the State Warehousing Department. Responsibility for the maintenance and security of these grains falls under the District Additional Collector and the District Civil Supplies Corporation Manager.
This new grain procurement policy is part of a broader government effort to ensure efficient distribution, reduce wastage, and curb malpractice among millers.
