Poor seed distribution causes Rs 41.6 cr loss: CAG

BHUBANESWAR: The Comptroller and Auditor General (CAG) has pulled up the State government for its consistent failure to distribute certified seeds among farmers causing financial loss to the Odisha State Seeds Corporation (OSSC).

The State owned seeds corporation incurred a cumulative loss of Rs 41.6 crore during the five years period from 2013 to 2018 due to non-lifting of stocks and distribution among farmers.

“Off-take of certified seeds was far lesser than the indented quantity all the five years. The difference ranged between 39.25 per cent and 53.82 per cent. The off-take of certified seeds reduced drastically in 2017-18 even against reduced indent,” the CAG report said.

As per the approved norm, the validity of the seed certification is only for a period of nine months. OSSC could not sell/distribute all the certified seeds produced by it within the validity period. As a result, the seeds became substandard and OSSC incurred loss of Rs 41.60 crore when seeds were sold after validity through auction. 

OSSC distributed seeds to farmers through private dealers, Primary Agriculture Cooperative Societies and Large Area Multi Purpose Societies (LAMPS).