Farmers left high and dry as private traders offer low price for Andhra Ponni paddy

With samba paddy harvest beginning in some parts of the district, the rather lukewarm response from private traders towards procuring the Andhra Ponni variety has come as a disappointment to farmers who had gone for the variety this year.

Andhra Ponni (BPT5204) is a fine variety cooking rice and is cultivated by a large number of farmers in Tiruchi district, besides other districts. Many farmers prefer to sell their produce to private traders who offer a better price than the procurement price at the Direct Purchase Centres (DPCs) of the Tamil Nadu Civil Supplies Corporation (TNCSC).

With the variety commanding a good price last year, especially towards the end of the samba harvest season, a large number of farmers had opted for the variety this year, hoping for good returns.

Though these are early days, the open market situation has not been encouraging as traders were offering only ₹1,250-₹1,300 per bag of 63 kg against the rate of ₹1,700-₹1,800 that was offered last year. Farmers get ₹2,450 a quintal (100 kg) at the DPCs for fine variety paddy.

Some of the traders say that many rice mills were still left with stocks procured last year as the market was flooded with rice from other States, especially Andhra Pradesh. “Many rice mill operators had sustained losses because of this and are still unable to sell our stocks. This has caused apprehensions among them. If the big mills start buying and exports increase, the price may go up to ₹1,450 a bag,” said R.P. Sakthivel, a trader-cum-rice mill owner in Tiruchi district. Mr. Sakthivel offers ₹1,350 a bag, if farmers bring the produce to his rice mill.

“Rice from Andhra Pradesh is still coming in. Many rice millers who had purchased the paddy variety at high price in anticipation of good profits have suffered heavy losses and are saddled with old stock,” said B. Muthu, who owns a rice mill in Needamangalam.

Traders cite the high moisture content of paddy coming in currently as another reason for the low price. “Most farmers do not dry the paddy and look to dispose their produce quickly,” said Mr. Muthu.

“The glut in the market due to heavy arrivals from Andhra Pradesh and Karnataka is said to be reason for the low price. The price offered at the DPC is much better,” said P. Ayyakannu, secretary, Desiya Thennidiya Nadigal Inaippu Vivasayigal Sangam.

However, a section of farmers believes that these are early days still as the paddy harvest is yet to begin in most parts of Lalgudi block. “The prices would stabilise once the DPCs are operational fully,” said N. Veerasekaran, State Secretary, Bharathiya Kisan Sangam.

Official sources echo the sentiment. Sources in the TNCSC said that orders had been issued for opening of 38 DPCs already in the district and men and material were being moved. They would be functional by Monday. These DPCs were largely in Manapparai, Musiri, and Thottiyam areas and more DPCs would be opened in Lalgudi block where the harvest is expected to begin only after a week to 10 days.