Archive · 29 Sep 2026
Fine Rice Prices Rise Amid El Nino Fears and Procurement
Fine rice has become more expensive in Telangana.
Prices have increased by about 20 to 30 percent in recent months.
One reason is that the government is buying large amounts of paddy for its public distribution scheme.
Farmers are attracted by an extra ₹500 bonus for selling to the government.
This leaves less rice for private millers and traders.
Some people are also buying rice early because they fear El Nino could reduce the next harvest.
Telangana produced 148.03 lakh metric tonnes of paddy during the 2025–26 Kharif season.
However, the area used to grow paddy fell by 15.84 percent compared with the previous year.
Fine rice prices in Telangana have risen 20–30% in recent months.
RNR and BPT varieties now cost ₹3,300 and ₹3,000 per quintal, respectively.
Jai Sriram rice is selling for about ₹4,500 per quintal.
Government procurement and a ₹500 bonus are encouraging farmers to sell paddy to the state.
El Nino concerns, advance consumer buying, and reduced cultivation are adding to price pressures.
- Who
- Consumers, farmers, millers, traders, and the Telangana state government are involved.
- What
- Prices of fine rice varieties have risen by 20–30 percent, or about ₹1,000 per quintal.
- When
- The increase has occurred gradually over the past two or three months.
- Where
- Telangana, including wholesale markets and Gudur in Mahbubabad district.
- Why
- Government procurement, the ₹500 farmer bonus, El Nino concerns, advance buying, and reduced paddy cultivation have tightened supply and increased demand.
- Retail prices
- Popular fine rice varieties now retail for about ₹60–₹70 per kilogram.
- RNR price
- RNR rice rose from about ₹2,400 to ₹3,300 per quintal.
- BPT price
- BPT rice rose from about ₹2,400 to ₹3,000 per quintal.
- Jai Sriram price
- Jai Sriram rice is selling for about ₹4,500 per quintal.
- Paddy production
- Telangana produced 148.03 lakh metric tonnes during the 2025–26 Kharif season.
- Government procurement
- The state procured 70.82 lakh metric tonnes, close to half of production.
- Cultivation area
- Paddy cultivation fell from 67.24 lakh acres to 56.6 lakh acres, a 15.84% decline.