Haryana Rice Millers Take a Stand

In a decisive move, rice millers in Haryana have declared their refusal to deliver custom-milled rice (CMR) against the allocated paddy unless their demands are addressed. The decision comes just three days after a meeting with Additional Chief Secretary Sumita Misra, where assurances were given but failed to satisfy the millers.

Unsettled Millers' Grievances

Despite discussions on December 22, millers, led by associations like the Haryana Pradesh Rice Millers and Dealers Association, expressed discontent over certain conditions linked to the procurement of fortified rice kernels (FRK). Specifically, objections were raised against the obligation for any manufacturer with a Food Safety and Standards Authority of India (FSSAI) licence to provide an undertaking on a stamp paper of Rs 100. This undertaking aimed to ensure the quality and proper supply of FRK.

Shift in FRK Procurement

The disagreement intensified as the government allowed millers to procure FRK from the open market this year, deviating from the previous practice of allocating work to eligible manufacturers through tenders.

Key Demands of Millers

Amarjeet Chhabra, the state president of the Haryana Pradesh Rice Millers and Dealers Association, and Jewel Singla, chairman of the Haryana Rice Millers and Dealers Association, jointly declared their stance. They demanded the withdrawal of the condition, obliging millers to provide the undertaking on FRK quality. Instead, they proposed that such commitments should come from FRK manufacturers or be facilitated by the government.

Financial Concerns and GST Disparities

The millers also voiced financial concerns, pointing out that while the government fixed the FRK procurement rate at Rs 4,800 per quintal (excluding GST), manufacturers charged them 18% GST, with only 5% being reimbursed to the millers. They urged the government to rectify this GST charging mechanism.

Impact on CMR Delivery

Expressing the urgency of their demands, Chhabra highlighted the delay in CMR delivery, a process typically initiated by the first week of November. The millers declared their refusal to deliver CMR until their concerns were addressed, further insisting on the linkage of local godowns with mills for CMR delivery.

Standoff in Rice Procurement

The standoff underscores the need for prompt government action to resolve the grievances of rice millers, ensuring a smooth and timely process of CMR delivery and addressing financial disparities in the procurement of FRK. The ball is now in the government's court to avert disruptions in the crucial rice supply chain.