Hyderabad: With coarse paddy yields surging across the kharif and rabi seasons, Telangana is grappling with over 34 lakh tonnes of surplus coarse rice, raising questions over its disposal amid limited demand from the public distribution system.
While the Civil Supplies Corporation has procured over 51 lakh tonnes of coarse paddy and 23.27 lakh tonnes of fine paddy from farmers, only the milled fine rice is distributed through ration shops. The bulk of coarse rice, however, is left unused post-milling.
The matter was taken up in a recent state cabinet meeting, which discussed viable alternatives for the unsold stock. Though coarse paddy forms the dominant share in rabi cultivation due to weather patterns, this year’s fine paddy bonus had a limited impact on cropping decisions, leaving more than two-thirds of the rabi output as coarse grain.
Telangana explores ethanol firms, FCI quota expansion to manage excess grain
Several ethanol producers have approached the state government seeking a supply of coarse rice for blending in fuel-grade ethanol, which currently allows up to a 20% mix in petrol. The cabinet debated this sale proposal but deferred a final decision.
Meanwhile, other states have reportedly requested the Food Corporation of India for allocations from Telangana’s coarse rice reserves. Whether FCI expands its central pool quota from the state remains uncertain, but officials said the outcome will directly shape stock disposal strategies.
