Keralam allows Supplyco to contract mills with pending paddy stock

The Keralam government has allowed Supplyco to enter into agreements with rice mills that have pending paddy milling from the previous season, subject to conditions, state Food and Civil Supplies Minister Anoop Jacob has said.
Keralam allows Supplyco to contract mills with pending paddy stock
Keralam allows Supplyco to contract mills with pending paddy stock
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Thiruvananthapuram | The Keralam government has allowed Supplyco to enter into agreements with rice mills that have pending paddy milling from the previous season, subject to conditions, state Food and Civil Supplies Minister Anoop Jacob has said.

The decision was taken to ensure timely commencement of paddy procurement for the 2026 kharif season and facilitate agreements with eligible rice mills, he said in a statement.

The minister said the move would remove the existing uncertainty over paddy procurement and directed Supplyco, the state Civil Supplies Corporation, to implement the agreements with the mills at the earliest.

The extension of the milling period will, however, be subject to approval from the Centre, Jacob said.

The state has sought an extension of the deadline for completing milling of paddy procured during the 2025-26 kharif season, which ended on July 31, to October 31, he said.

For the 2025-26 rabi season, the Centre has already allowed milling to be completed by January 31, 2027. Supplyco must strictly comply with the Centre's directions, including the prescribed out-turn ratio, he said.

The special permission was granted after assessing that waiting for completion of all pending milling from the previous season could delay the commencement of paddy procurement for the current season, Jacob said.

Before entering into agreements, Supplyco officials will inspect and assess the stock of paddy available at each concerned mill.

Mill owners will also have to submit an affidavit stating that the pending paddy and related liabilities from the previous season have been properly accounted for and that milling will be completed within the stipulated period and the rice supplied to Supplyco or the government, he said.

The stock, milling and rice distribution accounts of previous seasons must be maintained separately and clearly, and pending paddy or rice should not be mixed or adjusted against other accounts, Jacob said.

The Supplyco managing director has been directed to ensure that the list of mills proposed for special permission is based on verified records and that details of pending paddy, milling status and liabilities relating to the 2025-26 kharif and rabi seasons are maintained separately.

The managing director has also been asked to submit a consolidated statement to the government containing details of the mills covered by the special permission, the stock available at each mill, the quantity pending for milling for each crop season and the related milling liabilities, he added.

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