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India readies ₹18,250 crore for kharif paddy procurement drive

The government has allocated substantial funds to procure an estimated 65 lakh tonnes of kharif paddy as production forecasts exceed 119 lakh tonnes. The procurement operation will prioritise sanna rice varieties alongside other paddy types.

LSN India · 5 September 2026

India readies ₹18,250 crore for kharif paddy procurement drive

The government has mobilised ₹18,250 crore to execute its kharif paddy procurement programme, officials announced, as agricultural output is projected to surpass 119 lakh tonnes during the current season. The substantial budgetary allocation underscores the administration's commitment to supporting farmers and ensuring food grain stability across the region.

Procurement operations will focus on acquiring 65 lakh tonnes of paddy from the anticipated harvest. Of this total, approximately 45 lakh tonnes will comprise sanna varieties—fine-grain rice types valued for their quality and market demand. The targeted procurement represents a significant portion of the estimated total output, reflecting government support mechanisms for the agricultural sector.

The timing and scale of the procurement initiative coincide with harvest season preparations, ensuring farmers have ready market access for their produce. Officials indicated that the procurement framework aims to stabilise prices while maintaining adequate food grain reserves. The operation will engage procurement centres and government agencies across paddy-producing regions to facilitate smooth transactions.

The kharif season procurement drive forms part of the broader agricultural support infrastructure that provides minimum support prices and guaranteed purchase mechanisms for farmers. Officials stressed that adequate funding allocation and logistical preparation remain critical to procurement success during peak harvest periods.