Archive · 2 Sep 2025
India's Rice Procurement Up, Surplus Disposal Planned
India's government bought more rice this year than last year.
They are now figuring out how to get rid of the extra rice because they have a lot in storage.
Some rice will be sold directly to traders and some will be used to make alcohol.
The government also sets a price for how much farmers get paid for their rice, which has gone up a bit.
The government has a target to meet demands of various schemes including PDS.
Some states pay farmers even more than the government's set price.
India's rice procurement reached 545.22 lakh tonnes (lt) until August 31, up from 525.22 lt the previous year.
FCI has allowed traders to buy rice directly from depots.
The government is planning to dispose of surplus grain due to higher procurement.
The annual requirement for rice is around 410 lt and the buffer norm is 102.5 lt.
The government is selling rice to distilleries for ethanol production.
- Who
- The Government of India and FCI
- What
- Procured increased rice, planning surplus disposal and selling to traders.
- When
- Procurement season 2024-25 (October-September), data until August 31
- Where
- India
- Why
- To manage rice stocks and meet public distribution needs.
- Procurement (2024-25)
- 545.22 lakh tonnes (lt)
- Procurement (2023-24)
- 525.22 lt
- Annual PDS Requirement
- 410 lt
- Buffer Norm (Oct 1)
- 102.5 lt
- Carryover Stock (August 1)
- 380 lt rice + 143 lt rice (from unmilled paddy)
- MSP (2025-26)
- ₹2,389/quintal
- Rice Sold to Distilleries
- 52 lt at ₹23.20/kg
Sources
Excess rain, floods may dent India’s gains from higher kharif acreage
India lowers rice procurement target, to buy 46.35 million tonnes in 2025-26
Procurement of rice a tad higher at 472 lakh tonne
Govt sets 46.35 MT rice procurement target for 2025-26